How good is CHF as a hedge against inflation?

[FreedomSearcher]

Title says it all.

 

[JackAlabama]

Title says it all.

Nothing special. Its similar to euro due to their national banks policy.
Better holding usd

 

[diatessaron]

As long as they're neutral, better than EUR or any other currency.

 

[JohnnyDoe]

Any fiat currency is inflationary by nature due to its infinite supply and tends to zero. CHF is less inflationary than other currencies at the moment, but this is discounted by its price, which when is so high is not good for the Swiss economy.
You should better instead buy some asset that has scarce supply.

 

[Golden Fleece]

Someone asks this same exact question about once a month in different threads. Why not use the search function?

 

[JackAlabama]

As long as they're neutral, better than EUR or any other currency.

That "being neutral" has been officially gone and they are listed on the Russian list of unfriendly nations alongside US, EU, Canada etc.

You need to check the central bank reserves which is full of euro. Goes the eur, so will the chf.

 

[diatessaron]

That "being neutral" has been officially gone and they are listed on the Russian list of unfriendly nations alongside US, EU, Canada etc.

You need to check the central bank reserves which is full of euro. Goes the eur, so will the chf.

Sberbank and Gazprombank still hold a good chunk of their reserves in Switzerland. Russian citizens also hold something North of 200 billion in Swiss banks and they haven't been affected at all during these pathetic sanctions against their country.

 

[JackAlabama]

Sberbank and Gazprombank still hold a good chunk of their reserves in Switzerland. Russian citizens also hold something North of 200 billion in Swiss banks and they haven't been affected at all during these pathetic sanctions against their country.

Of course they do not want to do it. That is very clear. And that you will not unwind this all in 2 months is also clear. Also they still hold most offshore wealth but also this trend is changing.

The brand got ruined as they show flags all around and allow one war party to broadcast their message all along national channels are not exactly confidence instilling going forward.
The full implications of it has yet to be seen but they will not be good as it is not a good brand management at all. Go woke go broke also applies to countries like it does to companies.

But that was not the main point anyway. It is this:

The point is the Chf is "backed" by an amount of eur which is more than 1 year of GDP equivalent.
So where goes the eur, the chf will follow as there is no way and no chance to unwind this massive position.

 

[FreedomSearcher]

Someone asks this same exact question about once a month in different threads. Why not use the search function?

Things change, especially with Russian invasion

You should better instead buy some asset that has scarce supply.

So real estate, gold, silver etc.?

 

[backpacker]

So real estate, gold, silver etc.?

Diversification!

• Gold and Silver for emergency.
•  Add some good equities of long-standing companies who produce/sell indispensable goods. The company must have a long-standing tradition of paying a stable dividend.
• Real Estate = Debatable. If you live in it - Yes. Otherwise thee are better investments where the government has a harder time to blackmail you.

More important than the above: If you have so much money that you need to ask for investment advise, use at least part of that free cash to help others who are in desperate need. It may turn out to be your best investment ever!

 

[diatessaron]

Things change, especially with Russian invasion


So real estate, gold, silver etc.?

Land, as much land as you can. A bomb dropped on dirt costs way less than one dropped on a villa.

 

[JohnnyDoe]

So real estate, gold, silver etc.?

Bitcoin, intelligent people, hard working people