QROPS update 9th December 2010 Pension Foreign exchange QROPS and QNUPS

At Gerard Associates Ltd we continue our daily look at factors affecting markets and currencies allowing some insight into conditions affecting exchange rates.

Cash and income timing from a UK Pension or QROPS (Qualifying Recognised Overseas Pension Scheme) should be considered to maximise the Pension, QROPS and investment income taken.

Investment market volatility and currency exchange remains a challenge. The global economics are volatile and unprecedented in history. Currency exchange continues to concern expats with UK Pensions, QROPS and now QNUPS (Qualifying non UK Pension schemes).

Sterling gains against the dollar yesterday after stronger than expected manufacturing data were short lived after a surge in U.S bond yields lifted the dollar across all the major currencies. Sterling was down 0.2% against the dollar at $1.5723.

However the Pound continued to rise against the Euro supported by further evidence that the UK economy is recovering after the Confederation of British Industry survey showed that UK industrial orders were at their highest in 2 years. It read that the total order book balance had unexpectedly jumped to -3 this month the highest since June 2008 with export orders achieving a 15-year high as the sector benefited from a weaker pound.

“This just bears out the data we have just seen over the past few weeks and months, which suggest we are not seeing the drop-off in growth to the extent that many economists were predicting,” said analyst at CMC Markets.

“Sentiment towards the Euro will continue to struggle, certainly versus Sterling”.

The German export figures fell for the third time in four months and imports saw a modest recovery. Between September and October, exports slipped 1.1% slightly reversing the gain in the previous month, while imports rebounded 0.3%. As a result the trade surplus fell to €14.2 billion from €15.4 billion.

The Euro lost 15 pips against the dollar, after the news was released but immediately recovered by some 23 pips trading at 1.3222. GBP/EUR pushed through the 1.19 barrier for the remainder of the day and briefly touched the 1.1954 level its highest position in nearly 3-weeks.

Gerard Associates Ltd advises expats and people considering living abroad on the technical and currency options available for Pensions, QROPS, QNUPS and investments in a clear format allowing all customers to make an informed choice. Our service encompasses Pension including QROPS and QNUPS and investments in a clear format allowing all customers to make an informed choice.

This with the reassurance and security of UK FSA authorised and regulated advice - essential for your security.