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"The impact of the stock and real estate devaluation on franchise ownership is indirectly, but very certainly, impacting the stability of a number of professional sports franchises," he said.
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Because most private sector investors like myself cannot countenance an unhedgeable risk of a 50% overnight drop in asset values private sector capital flees, even as asset prices and labor costs collapse.This leads to Mr Gave's suggestion:Let's imagine that I am thinking of investing €10mn in distressed Spanish real estate, but am worried about Spain leaving the euro and a new peseta devaluation.
Also investigate how property devaluation will affect your taxes, as well as how owning real estate will enhance your company's equity.
The second largest bank in Spain, Banco Bilbao Vizcaya Argentaria, agreed to sell a 24percentt stake in Metrovacesa, a real estate company, for 545 million euros ($512.9 million), helping offset losses from Argentina's currency devaluation.
In short, a simple, market hedge existed which allowed investors attracted by the value on offer amongst Hong Kong's deeply discounted assets, but worried about the potential for a large currency devaluation, to deploy capital in Hong Kong's equity, fixed income and real estate markets.
De Waal said the the real estate market in Azerbaijan has been hammered by the drop in oil prices and devaluations of the country's currency.
Devaluation of the franc.
It's called devaluation.
This isn't devaluation.
"Sure, there was devaluation.
Meanwhile, devaluation would fuel inflation.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com