moving salary from AUD to GBP.

[Du1point8]

Situation is that Im being paid in AUD, but its a conversion of the GBP to AUD is worked out over the course of last year... so its better than the 1.68 its at now, I estimate it will be a conversion closer to 1.95...

Question is that due to low rate that is GBP at the moment, do the folks here think I should instantly convert it back to GBP?

So in theory if I was paid £10k in UK.

UK = £10k
paid in AUD = $19.5k
Convert back to GBP = £11.4k

My logic is sound correct? Is there anything else I can do to maximise my money?

[Condi]

I guess it depends if you need the money in £ or $.

There is no easy answer, you pay your money and take your chance. Interest rates will probably be higher in $, but the £ could appreciate and you'd quickly lose the benefit of the interest. What we do at work is just fix the FX when we trade, but then Im not a currency trader. Gut feeling is probably to leave it in $ if you're prepared to take the risk and dont need Pounds soon.

EDIT - just reread it, if you've been offered a better rate than the spot rate to convert, when does that expire? Normally if you can get a better than market rate to convert then its best to do so.

[davepoth]

Du1point8 said:

My logic is sound correct? Is there anything else I can do to maximise my money?

Move to Australia?

[Du1point8]

Condi said:

I guess it depends if you need the money in £ or $.

There is no easy answer, you pay your money and take your chance. Interest rates will probably be higher in $, but the £ could appreciate and you'd quickly lose the benefit of the interest. What we do at work is just fix the FX when we trade, but then Im not a currency trader. Gut feeling is probably to leave it in $ if you're prepared to take the risk and dont need Pounds soon.

EDIT - just reread it, if you've been offered a better rate than the spot rate to convert, when does that expire? Normally if you can get a better than market rate to convert then its best to do so.

Far as Im aware its at that rate until I decided that I don't want to be in Aus anymore.

Its swings and roundabouts, if the Aus Ex rate jumped about 2, I would lose out if taking the average, just happens to be a completely coincidence time wise that brexit has made it bomb so bad.

[Condi]

Du1point8 said:

Far as Im aware its at that rate until I decided that I don't want to be in Aus anymore.

Its swings and roundabouts, if the Aus Ex rate jumped about 2, I would lose out if taking the average, just happens to be a completely coincidence time wise that brexit has made it bomb so bad.

Of course its swings and roundabouts. There is no 'right answer'... depends on your attitude to risk and feelings on what you can afford for it to go down to. You either need some advice from a currency trader (which Im not) or just fix it and take the risk off the table by exchanging now.