Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:New Fund Bets Against Dollar Not Rated 0.0 Email Routing List Email & Route  Print Print
Wednesday, May 18, 2005

New Fund Bets Against Dollar

by: Sean Hanna, Editor in Chief

Merk Investments (not to be confused with Merck the drug maker) is opening a new fund that will specialize in hard currency investments. The fund is intended as a hedge for the dollar and will invest in a basket of hard currencies and gold.

The fund will operate under the straight-forward label of the Merk Hard Currency Fund and carries a $2,500 initial investment. The fund is the first registered by the Palo Alto-based investment advisor.

Axel Merk, president of Merk Investments, said that the fund is a reaction to "global imbalances" that are "evidenced by the US current account deficit" and his prediction that the current monetary policies are "likely to remain consistent" leading to a continued decline in the value of the dollar.

"A fund that invests in a diversified basket of hard currencies is looking smarter and smarter," added Merk. "Key economic factors, such as recent unemployment statistics and new signs of inflation have increased economic uncertainties. In addition, the US trade deficit recently reached an annualized $727 billion, or over 6 percent of gross domestic product (GDP). All of this weighs heavily on the dollar, stock and bond markets. While slowly rising interest rates give some short-term relief to the dollar, the decline that began in late 2001 appears to be firmly established. For the long-term investor, the most prudent approach to seeking preservation of capital against the decline of the dollar may be to consider a portfolio consisting of a basket of hard currencies."  

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use