The suspension of the AstraZeneca vaccine hit the pound at the start of last week. AztraZeneca plc is a British-Swedish multinational pharmaceutical and biotechnology company with its headquarters at the Cambridge, England. Their vaccine has led the UK vaccination programme and it has been widely used among the UK population.
The news also put pressure on the Euro as it delayed an already very precarious vaccination programme in the continent. The threat of a third wave of coronavirus infections with Italy and France announcing further lockdown measures, didn’t help the single currency.
These events highlight the uncertain and fragile path to recovery and the importance to be aware of the implications that those can have on the financial markets and on the value of currencies.
But if you have to exchange your funds into Euros in the near future is not all bad news. The current volatily creates a risk but also an opportunity. Two weeks ago we saw the GBP/EUR getting closer to 1.17, the best level we have seen since February 2020 and closer to the rates we had before the pandemic started.
What can you do to manage effectively sure the current uncertainty?
High street bank and online only platforms often miss an important element which is key on the process of exchanging your funds. Getting the right guidance on the market and having the tools to plan the best way to exchange your funds is more available is more important than ever. And this is one of the main advantages of using a foreign exchange specialist.
A foreign exchange company such as moneycorp treats each customer as unique and with this in mind each account is assigned to a personal dealer who will discuss the personal circumstances with the client (budget, timeline, personal circumstances…) in order to guide them on the best time and best way to exchange the funds from the deposit to the completion funds.
With a foreign exchange specialist you would have instant access to a variety of tools to help you plan to make the most of your money:
Currency updates– Sign up to receive daily updates on the rates and even rate alerts to make sure you don’t miss any opportunity. Let the experts monitor the markets for you, so you can focus on what matters.
Watch order– You can set up your preferred rate of exchange and if that rate is achieved you would be notified.
Market order- You could target a rate of exchange and if the rate moves to that level the currency is bought for you automatically at that rate. This allows you to take advantage of a rate movement even if it happens whilst you are busy or doesn’t last long. With the same principle you can set up a limit order to protect your transaction in case the rate falls below certain level which is a great tool for budgeting.
Forward contract- This allows you to fix a rate of exchange in advance of a payment –up to 2 years. This tool is very popular among property buyers as allows them to fix the whole price of the property ahead of completion giving them the peace of mind and the certainty of how much they are going to pay for the property. Also it can be a great way to take advantage of a positive rate movement, and for future mortgage payments.
When shall I get in contact with a foreign exchange specialist?
You should get some guidance on the market early in the process as the exchange rates should be an element of your budget. Make sure you open a free account before you start inspecting properties either virtually or by travelling to France. If you find a property you can act quickly and if you don’t you can keep your account opened –at no cost or obligation- and benefit of market updates and the help of a dealer.
What to do next?
Opening a currency payments account is really easy and free of cost or obligation. You can register online or over the phone in a couple of minutes and for FrenchEntree there are no transfer fees for any payments.
With a Platinum Trusted Service Award 2020 from independent review site Feefo and 40 years of experience in the industry, FrenchEntree has been recommending moneycorp for more than 15 years. During this time they have helped thousands of client planning the best way to pay for their property as well as supporting them afterwards with any further payment from paying bills, mortgages to repatriating UK pension payments for those who have retired to France.
Furthermore, we have worked with the same person at moneycorp for more than a decade! You might be familiar with her as she often writes for our FrenchEntree magazine. She has 13 years’ experience in foreign exchange, and is a qualified European lawyer with experience in European transactions. Mar will be happy to answer any questions or enquiries to support you through these difficult times
Opening an account is really easy and free of cost. You can register online or over the phone in a couple of minutes and for FrenchEntree there are no transfer fees in any payment.
Open a free account today by clicking here.
Contact moneycorp at 020 3773 6355 or send your enquires here.