Cyprus-Forum.com

[Robin Hood]

Miltiades:
I’ll give you a tip. Where I live we have a lot of finished and half finished properties, that were repossessed by the banks from developers (Russian .... owes around €10-12m) . I have heard that you can do a good deal with the Bank, who are only interested in getting the interest out of any deal (The capital sum they write off anyway) Certainly worth a thought ..... good location ......plenty of choice ...... close to shops ( 5 miles) and the highway ...... and you even get me for a neighbour at no extra cost!

Having you as a neighbour would be enough to devalue the property even further.

No wonder the Russian defaulted and had his property repossessed. I'm not surprised tbh!

You are expressing your usual opinion on most subjects ..... from a position of total ignorance. You have no idea what I am like at all. FYI: I am more like THE Robin Hood than you could ever imagine !

No you aren't a robin hood.

I can tell you i wouldn't want a neighbor like you because I can only imagine and presume it wouldn't be very pleasant. Plus, we have mutual acquaintances btw hence i know more about you than you think.

Someone who disrespects Human rights and The Geneva Convention and supports war crimes is a major red line for me. You are far too obsessed with everything that is anti west, very supportive of criminals, and also obsessed with banks and finance and you even mentioned that you want the entire system to collapse. So in my assessment, you are a person who may rejoice in the misfortune of others and you are certainly very supportive of Pootin and Russia and in fact would be very supportive of ANYONE as long as they are against the West no matter if they are good or bad.

that say's a lot about you. I am a lot more flexible than you are as I simply just can't tolerate injustice whether it is committed by the West, China or Russia. Not as one eyed as you might think but you are one eyed and tunnel visioned.

I doubt we have any mutual acquaintances. The only one that would likely be so is ............. but he has denied it!!!

I do not support nor do I recognise any of the things you attribute to me. (Except money/banking ... but then I know a lot more about it than you do, which is evident in any related posts). You are lack any common sense, you are inflexible, ignorant, arrogant, conceited, incapable of presenting a sound argument and never provide any evidence that supports the heavily biased rubbish you spew. I judge actions on evidence from any sources rather than believing the crap you do, which is sooooo anti-Putin/Assad it is obviously not derived from actual events.

Tell me .... when you wake in the morning do you stand in front of the bathroom mirror congratulation yourself for being such a wonderful person? Because you are so obviously very full of your own sh*t.

[Londonrake]

As a qualified accountant and a business man for over 40 years I think I know a little more than you.
Sterling begun to collapse after BREXIT. FACT !

I appreciate from your earlier posts that you are suffering a good deal at present. Such that most of our problems seem relatively trivial. Although, to somebody retired and living in the EU, outwith UK, a 20% or so reduction in pension income is of course not something that can be taken lightly.

Nevertheless, I suspect that you are in a can't see the wood for the trees position at the moment and would take exception to your remarks.

Firstly I don't agree that one has to be in a related profession to understand what's going on at present Grey matter and a closely following interest should suffice.

Secondly, whilst it would be patently absurd to argue that Sterling's current depreciation has nothing to do with Brexit there are numerous factors in play.

The FOREX "teenage scribblers" and likes of the redoubtable Mr Soros are very adept at manipulating such events, given an opportunity and ever on the lookout for one. . Brexit created such an opportunity. Sterling has been turned into a volatile currency on the back of the perceived political uncertainty involved. A great deal of money is being made out of the subsequent swings. These people are ever willing to hype things up, to create those swings and it sometimes seems to boil down to absurdities. "May singing Rule Britannia in the shower sparks 2% drop in Sterling" sorta thing. The recent sharp drop brought about by a computer belatedly picking up comments by Hollande (the walking political dead) reported by the FT being a good example.

AS RH has pointed out, there is nothing significant of an economic nature to explain it. On the contrary, whilst it's possible to trawl the media for negative Brexit stories daily (and they do!) there has actually been a raft of positive news over the past 4 months. All of this though, good or bad, I personally regard as transitory - short-termism.

I would draw your attention to the link below to one of my previous posts. I appreciate life is short but there you will find half a dozen articles which clearly show that long before Brexit was a reality Sterling was a much overvalued currency. The articles are from sources of widely ranging political standpoints (Guardian/Telegraph) and I think, to any reasonably minded individual, will be seen as an objective view of the currency's position and impartial forewarning of a significant adjustment. "The most overvalued currency in the World". If you were inclined to you could also find the same warnings from the likes of the IMF and Frau Merkel.

cyprus45246-20.html#p849643

Your view on the movement of sterling I submit is inaccurate.

On May 9, 2015, two days after the UK General Election, where the Tories won a majority, the £ stood at €1.37. It should be borne in mind perhaps that this win was thought to have been achieved by the party's manifesto commitment to hold a referendum on membership of the EU.

The £ then continued to move in quite a narrow range, peaking at €1.42 on 30th November.

Sterling then began a steady, gradual but relentless descent and reached €1.25 on 14th April (-17c), the day before Cameron announced his intention to hold a June 23rd vote.

On 22 June the £ closed at €1.30, a drop of 12c on it's earlier peak. Of course, at that point in came the sharks and there was a sharp drop; however, your assertion that "Sterling begun (sic) to collapse after BREXIT. FACT". Actually isn't.

I will also add that the language in this debate used by some leaves much to be desired. Use of "Little Engander, geriatrics" for instance. I think all that does is to suggest a paucity of argument, lower the tone and harden opposing opinion. Not as boring and juvenile as "May says F*** OFF FORIGNERS" I will grant you though.

[miltiades]

I appreciate your input. You must, Im sure accept that the one day drop in the value of Stg against major currencies was the biggest ever.
"The pound’s decline isn’t just its biggest on record, it is vying to be among the biggest falls for any major global currency in decades...."
https://www.ft.com/content/60416c82-682 ... 759a535169

Speculators/ investors have been around since day one, markets reflect the activities of speculators.
Following the Brexit result Stg has, in just under four months, lost more than 15% of its pre brexit vote. Surely it is the BREXIT result that contributed to Stgs fall, none other.

http://uk.reuters.com/article/us-britai ... KKCN0ZN1R0

[Robin Hood]

LR:

I would draw your attention to the link below to one of my previous posts. I appreciate life is short but there you will find half a dozen articles which clearly show that long before Brexit was a reality Sterling was a much overvalued currency. The articles are from sources of widely ranging political standpoints (Guardian/Telegraph) and I think, to any reasonably minded individual, will be seen as an objective view of the currency's position and impartial forewarning of a significant adjustment. "The most overvalued currency in the World". If you were inclined to you could also find the same warnings from the likes of the IMF and Frau Merkel.

Although I can understand Miltis’s comments on his losses in the price of his house due to the loss in value of the pound, he should also take into account that UK property is also grossly overpriced, I have no idea by how much but it has to be at least double the true/realistic value compared to income over time. So even losing 100K Milti you are still quid's in as property in Cyprus is just about as low as it will go at the moment, so you will gain on that side of the equation.

If you wait for the pound to recover ..... the housing market could nose dive when Paphitis cashes in on his gains and sells off his UK property portfolio and then you could lose even more than the 100k you all ready consider lost.

It is all down to speculators and The Markets !!!!!

Maybe someone could tell me how anyone could declare a currency ‘over valued’ or ‘under valued’? What yard stick do you use as the base line to compare it with? Take the Euro; it’s purchasing power varies according to which bit of Europe you live in. Local taxes vary from country to country, as do salaries but ....... the cost of fuel will more or less be the same as the price is in dollars and converted to Euro’s at a rate that applies to all countries that use the Euro as currency.

My question is; How to you value a currency to determine its true value?

[Maximus]

Maybe someone could tell me how anyone could declare a currency ‘over valued’ or ‘under valued’? What yard stick do you use as the base line to compare it with? Take the Euro; it’s purchasing power varies according to which bit of Europe you live in. Local taxes vary from country to country, as do salaries but ....... the cost of fuel will more or less be the same as the price is in dollars and converted to Euro’s at a rate that applies to all countries that use the Euro as currency.

My question is; How to you value a currency to determine its true value?

Its more complicated than stocks. With stocks, you can calculate an approximate value of what a share is intrinsically worth from the balance sheet, more specifically, its assets minus liabilities. The client list also has worth, so the cashflow forecast also has to be considered and this can give you an idea about what is a reasonable price to pay for future earnings too. So if the company was liquidated today, and all creditors were payed, and all debtors paid their debts and all the companys assets sold, that is how much it is worth. Then, dividing that sum between the shareholders or the number of shares outstanding and you get a rougth idea about how much a share is intrinsically worth.

With currencies, you can treat the country as the business. This is one way of calculating value but its hard to quantify. furthermore, currency values are only determined relative to another currency. One business vs another business.

Another way is to calculate the mean price, over a certain period of time. Currency prices always revert to their mean price over time. because this is what it is worth. I can eyeball a chart a tell you roughly what that price is, hence determining whether it is under or overvalued within a given timeframe. That does not mean prices will revert back to the mean any time soon. A new mean price can also become established within shorter term time frames too. Its all about perspective.

[Maximus]

This is why looking at one economic indicator like employment / unemployment is meaningless without context.

To calculate the value of a financial asset like stocks and shares or currency, which is just like a share certificate, you need to determine what the "business or country" is worth if it was liquidated today. That sum is what it is worth, today. The price you pay for that asset will determine if you bought it at a discount or paid a premium for it. So price is what you pay, value is what you get. Now, everyone knows the price of everything but few know the value of something.

Two examples;

An estate agents that has practically no assets, rents an office and has a few computers and desks in it - is more or less worthless if it was liquidated today. Maybe the client list is 'worth' something.

A company like Mcdonalds, that owns real estate in the most prime locations woldwide and has expensive industrial equipment and a fleet of company cars is worth a lot if it was liquidated today.

[miltiades]

Nigel Farage as well as other British MEPs are sitting rather pretty since their salaries are paid in Euros, no wonder Nigel responded to Cameron's assertion on the Andrew Marr show " Sunday chat show a couple of weeks before the referendum , that Sterling would fall if the Brexit campaign won the referendum,
by responding " SO WHAT IF BREXIT CAUSES FALL IN THE VALUE OF STERLING" So what indeed !!

"MEPs are paid in euros, so British MEPs will find their spending money goes further than before when they change it into sterling. "
https://www.politicshome.com/news/europ ... l-sterling

With an EPM salary of around Euros 100,000 per annum, excluding expenses, Mr Farage is currently better off, because of the fall in the value of sterling, by more than £ 1000. 00 per month, unlike our NHS which will NOT be better off by 350 million a year !!

[Robin Hood]

Nigel Farage as well as other British MEPs are sitting rather pretty since their salaries are paid in Euros, no wonder Nigel responded to Cameron's assertion on the Andrew Marr show " Sunday chat show a couple of weeks before the referendum , that Sterling would fall if the Brexit campaign won the referendum,
by responding " SO WHAT IF BREXIT CAUSES FALL IN THE VALUE OF STERLING" So what indeed !!

"MEPs are paid in euros, so British MEPs will find their spending money goes further than before when they change it into sterling. "
https://www.politicshome.com/news/europ ... l-sterling

With an EPM salary of around Euros 100,000 per annum, excluding expenses, Mr Farage is currently better off, because of the fall in the value of sterling, by more than £ 1000. 00 per month, unlike our NHS which will NOT be better off by 350 million a year !!

Come on Milti ..... be fair! What you are expressing is envy ..... my postman and the rubbish collectors also get paid in Euro's but even with a 20% drop in the value of my pension, I am getting at least as much as they do if not more. Those Europeans that work in the UK but send their money back home have taken a 20% drop in their salaries. I was paid Dm when the UK exited the ERM ...... I got something like a 20% pay rise over night ... and I didn't even have to ask for it!

That is simply the luck of the draw.

[miltiades]

" Businesswoman challenging PM's right to trigger Brexit in High Court"
" If judges decide there must be a vote in Parliament then the possibility of MPs defying the result of the referendum is raised.

The majority of MPs campaigned to stay in the EU and they could vote to block the very start of the process which the majority of constituents backed.

The courts could make politics very difficult in the coming weeks."
http://news.sky.com/story/businesswoman ... t-10614970

[Robin Hood]

" Businesswoman challenging PM's right to trigger Brexit in High Court"
" If judges decide there must be a vote in Parliament then the possibility of MPs defying the result of the referendum is raised.

The majority of MPs campaigned to stay in the EU and they could vote to block the very start of the process which the majority of constituents backed.

The courts could make politics very difficult in the coming weeks."
http://news.sky.com/story/businesswoman ... t-10614970

When Lawyers get involved in ANYTHING it gets complicated and difficult.

If May has a majority and applies the whip (and thumb-screws) it would still happen!