How to Move Your Assets Out of the Dollar
If you're worried about the future of the U.S. dollar, diversifying out of it might be a smart financial move. Moving assets out of the dollar allows you to take advantage of other currencies or precious metals that aren't priced exclusively in terms of U.S. dollars. This allows you to avoid the devaluation of the dollar as it's inflated. Doing this requires you to have a bank account and access to a brokerage firm selling precious metals.
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Instructions
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Contact a precious-metals dealer or your brokerage account. Get a quote on the spot price of the metal you wish you buy. The spot price is the price you pay for your precious metals.
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Contact a currency exchanger or your banking institution. A large bank often has access to foreign currencies. You may exchange your currency for that of another country.
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Purchase gold or foreign currency. You must transfer funds to your brokerage or initiate the transaction with your banking institution to exchange currencies. You may then hold the new currency with the bank or in your home in a safe or somewhere else that's secure. Gold is either held in a vault of your choosing, or you may take possession of the physical metal.
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Purchase land in a foreign country. To do this, contact a mortgage broker who specializes in international real estate. If you purchase the property in a foreign country, you also have to convert your currency to the currency of the country in which you're buying the property. If you sell the property, you receive the currency of the country where your property is located.
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Purchase foreign stock funds. These are investments that invest in companies in foreign companies. You get exposure to foreign countries, but you also get exposure to the foreign currency of wherever you happen to be investing in.
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Invest in foreign bond funds. Like stock funds, bond funds offer you a way to invest outside of the U.S. You invest in the debt of companies, instead of the equity. In other words, instead of owning shares of a company, you loan the company money. The bonds are repaid in the foreign currency of the country you're investing in.
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Tips & Warnings
When you take possession of precious metals, these metals may need to be assayed again for purity when you sell them. This adds to the cost and takes away from the total gains you experience, as you're incurring an additional transaction cost.
References
- "Practicing Financial Planning for Professionals (Practitioners' Edition), 10th Edition"; Sid Mittra, et al.; 2007
- "The Intelligent Investor, Revised Edition"; Benjamin Graham; 2003
