THE LOONIE WATCHER (copyright 2006) is being launched to allow investors and businesses to protect themselves,
and profit from the major moves coming in the Loonie, and the US Dollar.
This service has been developed to take the hype out of the currency market for
the Loonie and the US Dollar, and provide you with easy to understand advice on the probable future valuation of these currencies.
It is suitable for the businesses that are subject to negative results due to fluctuations in the Loonie.
This service emphasizes the removal of negative consequences, because the favorable movements (favorable to
oneself) in the Loonie are not a problem for you.
Currency exposure affects businesses in a number of ways!
The first risk involves your account receivables, and accounts payables.
Losses due to currency translation can be devastating to a business with thin margins!
The second risk involves losses on your inventory.
Your original pricing decision assume costs of X, but currency changes can alter their replacement costs to
Y. If Y (the production/aquisition cost) exceeds your original cost), then a loss will be incurred.
There will always be an inventory carrying risk, but the currency fluctuation part of the equation can be
controlled.
The third risk involves the general valuation of your business.
Tourist related businesses will find that their business will tend to increase at a time of decreasing loonie
valuation!
Financial assets may begin to decrease in value at a time of Loonie depreciation., because the international
investor must adjust their appraisal price for any potential currency loss.
A grain farmer will find his profit increasing if the Loonie depreciates. Should the Loonie begin appreciating,
the reverse will be true, as buyers will purchase the commodity from the country with the cheaper currency adjusted price!
You have been told how difficult hedging can be!
However, hedging is easy when you have the right information!
THE LOONIE WATCHER (copyright 2006) provides you with the right information to hedge the Loonie!
What is true cost of not hedging your uncontrollable risks? Ask the US Airlines industry!
A TALE OF TWO STRATEGIES, OR HOW THE US AIRLINE INDUSTRY BLEW IT!
Click on the above link, and read the sad tale of those who failed to hedge their costs!
For information on the basics of hedging, go to http://www.nybot.com/education/brochuresPublications/files/underst.pdf
This presentation from the New York Board of Trade is simple, and complete. The presentation is confined to
agricultural commodites, but the same techniques apply to Currencies.
THE CANADIAN ADVANTAGE
The Loonie has one major advantage over most other currencies. The Loonie has a
very liquid (many transactions) market in both the Forex, and the Futures markets! This is Canada’s
biggest advantage in the international market! Very few nations have a liquid currency to work with. But Canada does!
Even the US Dollar index is a basket of currencies, which complicates hedging strategies for individual countries.
The Eurocurrency is also a basket of currencies.
Unique linkages provide unique opportunities
Because Canada does so much trading with the US, the Loonie became a heavily traded (liquid) currency.
As of 2004, the US buys 88 percent of Canada’s exports. That leaves most Canadian businesses, and many US businesses, with an major currency
exposure!
64 percent of Canada’s imports came from the US, leaving businesses aqnd
investors with even more currency exposure!
Exploit the advantage this gives you from a financial point of view.
Harness this fact to increase your profitability and net worth!
Protect yourself from the major changes to come in the value of the Loonie!
We also cover the US Dollar for your planning needs.
THE LOONIE WATCHER (COPYRIGHT 2006) provides you with the information to make the correct decision for your
financial future!
Winners in Business have an edge!
Generally denied, but almost always true, is the fact the winners have an edge! Their edge can be better training,
discipline, technology, or information.
THE LOONIE WATCHER (copyright 2006) should be one of your advantages over your competition! You know that
your competitors are not going to give you break, so why not get every edge you can?
You know your business. We know currency trends. Between the two of us, you can get, and keep
the EDGE over your competition!
Defend yourself now
by subscribing to THE LOONIE WATCHER (copyright 2006)!
Remember, your stongest competitor might subscribe before you subscribe!
Only $41.66USD/month
will give you the time and peace of mind to focus on your
business.
SUBSCRIBE to THE LOONIE WATCHER (COPYRIGHT 2006) NOW!
Don’t make the same mistake that the US airlines made!
Subscribe to THE LOONIE WATCHER now before your business goes into a financial crisis.
Major changes in the value of currencies is a recurring event!
Protect yourself now with a subscription to THE LOONIE WATCHER (copyright 2006)!
THE LOONIE WATCHER (COPYRIGHT 2006) is available for only $41.66USD/month
Subscriptions are for one year!.
THE LOONIE WATCHER (copyright 2006) provides the right information at the
right time for both the LOONIE and the US Dollar.
PITAGORAS INTERNACIONAL SA. Onlypill@cox.net
Pitagoras Internacional SA will not be liable for any liability, loss or damage directly or
indirectly caused, or believed to be caused, by THE LOONIE WATCHER (copyright 2006)
