Investing in Greece

dwileflunker

I was in Argentina during the time the Peso was linked to the Dollar and saw the problems it caused, and the Greek situation is very similar albeit that the Greeks don't have the resources the Argentinians have to aid a recovery. The Greeks will, one way or another, withdraw from the Euro and I agree that it's going to get much much worse before it gets better. I would be very wary about having any money in Greece at the moment but if (when) they do return to the Drachma and everything is devalued significantly (I think the figure of a 40% devaluation is being banded about at the moment but I think it will probably be greater than that) there is a good argument for investing for the long term, but it won't be a get rich quick scenario. Does anybody know of any good Unit or Investment Trusts centered on Greece?

innovate

Sceptic001 wrote: »

I agree that the Greek economy will not start to recover until it leaves the euro.

And it will take them a huge long time to recover if they leave. The poor people of Greece are doomed for a generation or two, whichever way the current crisis pans out.

If they leave the euro (and therefore the EU?), their own currency will be worth very little, they have nothing much to export, nobody wants to invest there significantly for a long time.

Doomed if they do, doomed if they don't.

grey_gym_sock

much better for them to reject the austerity programme, i'm sure. it would leave their economy contracting more and more, so they'd never pay off their remaining debts - not to mention it being worse for them.

after rejecting austerity, nobody will lend to them, so they will depend on their own resources. which i imagine (though i'm not well informed on this) are less favourable than argentina's.

it's not obvious to me why rejecting austerity and defaulting again means they have to leave the euro. but that appears to be what the other eurozone countries have decided. which currency they use is not the biggest issue for greece now; the important thing is to have an economic policy other than self-immolation.

i've always planned to visit greece. this could be the time to go.