As far as I understabd it, in the event of a split Euro, thg real questions are :
(1) What currency is an account denominated in ?
(2) What jurisdiction is the bank (where the account is) operating under ?
Take a Euro account with Rabodirect for example. Rabodirect is regulated by the Dutch authorities. If the Euro were to split, and the Netherlands ends up being one of the "strong" Euro countries, then I'd assume that Euros now in a Rabodirect account will become "strong" Euros. It shouldn't matter where the account holder is domiciled.
The possibility is that if the Euro splits into "strong" and "weak" Euros, then the inevitable result will be a devaluation of the "weak" Euro. Ireland would probably end up being a "weak" Euro country. In that case, the "strong" Euros in the Rabodirect account could then be converted to a greater quantity of "weak" Euros when transferred from the Rabodirect account to, say, an AIB or BoI account.
It's highly unlikely that the "weak" Euro would ever rise above parity with the "strong" Euro, so leaving money in a non-Irish, "strong" Euro account would have to be a good thing.
Any comments ?
Maurice
The possibility is that if the Euro splits into "strong" and "weak" Euros, then the inevitable result will be a devaluation of the "weak" Euro. Ireland would probably end up being a "weak" Euro country. In that case, the "strong" Euros in the Rabodirect account could then be converted to a greater quantity of "weak" Euros when transferred from the Rabodirect account to, say, an AIB or BoI account.
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