(June 29, 2016 at 12:32 am)Aractus Wrote: Look I fundamentally disagree. The GBP was already considered grossly overvalued, and had been for quite some time. I'm not talking semantics, it dropped to 1984 levels - so a person who moved from UK to USA in 1984 and was paid in GBP would actually say the opposite to you as time went on, they would say "hey this exchange rate is great, I'm netting more money than I would have under the exchange rate when I moved here". My point is whether you're paid in Currency or Gold Bullion its value can and will change, that shouldn't be unexpected or feared. The AUD reached parity with the USD in 2010, and maintained parity to 2013. It now trades at 0.74 USD. If you were an Australian paid in AUD, living in USA, and you were paid a decent salary of $65,000, your net income after tax would be about A$51,000 and from 2010-2013 that have equalled USD 51,000 - but today it would equal USD 37,740. A net loss of over USD 13,000 annually. And that has nothing to do with political of financial instability in our country, it's purely market-based economics.
I'll note that the AUD was considered by most economists to be overvalued when it reached parity - and even when it reached 90 US cents. It's currently undervalued really, but the fact is the market value for it at present is 74 US cents. I think Brexit forced a swift market correction for the GBP, I'm not an economist though, but as far as I can tell the Brexit vote didn't cause the GBP to fall much below its real value. Most economists I've heard on this issue said "correction" not" fall". The Euro is overvalued as well, again in the opinion of the financial experts, so if it were to take a hit for a market correction that's not an unexpected outcome either. So in a nutshell all I'm saying is that according to financial experts, with or without Brexit the GBP would have fallen to this level at some point anyway.
Didn't I say "I don't care to get into a stupid semantics argument with you"? End result for me is the same: either way, I've lost money. So people in this thread who are saying that the money isn't "gone" and it'll "recover" are spreading bullshit. For me to recover the amount of money that I'd have lost, the pound would have to recover to more than the value it was at previously, and stay there.