- Is completely irrelevant if you change some of your capital into the most important foreign currencies and don't change it back. This can be done with call money accounts, money market funds (to be avoided), retirement funds and stock funds. Since this is aimed at ensuring financial security, stocks and shares should rather be avoided. Here is an example of conversion to the Australian dollar with a retirement fund - variant non-dividend paying. I prefer variants which don't pay dividends, as foreign currencies can appreciate strongly against the euro, leading to extremely high individual payouts - which would increase the tax due.

So the next time you fly to Australia, you will be more likely to have a problem with taxation of the profits from your investment rather than with the strength or weakness of the euro relative to the Australian dollar.

Via Zeit Blog from Die Zeit

Written on 28.11.2005 at 09:40, Category: Travel, World of Finance.
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