24 Jun 2016
Our Two Drachmas On Grexit
We will keep this brief as there is plenty of high level discussion from highly informed and intelligent people available to you from many sources:
- There has been plenty of time to prepare for the direct consequences of Grexit so most will have.
- Any sniff of contagion or capital flight from other at-risk European countries will be quickly met with more QE.
- If Greece leaves the Euro, it will probably be a very good time to go and buy a little Greek holiday home. Greece will print its new currency like crazy, there will be inflation and economic turmoil. But it will survive and at some point be prosperous again.
- However, while it is not our base case, you cannot fully discount the possibility that Grexit is the grain of sand that causes a financial avalanche, watch it closely.