Investing in the Iraqi Dinar: Expert Opinions
There are a lot of "experts" out there telling people to buy Iraqi dinar. But often these experts are also the people selling dinar. It's relatively easy to find websites selling dinar with their in-house expert painting a seemingly convincing picture as to why Iraqi dinar are a good investment.
But finding truly independent and clear advice from acknowledged personal finance experts is more difficult. Only a few of the best-known personal finance gurus have ventured to express clear opinions on this topic, but the few who have are decidedly negative on the idea:
| Opinion | Expert | Source | Date | Excerpt | Link |
|---|---|---|---|---|---|
 | Jim Cramer | TheStreet.com | October 20,2009 | "I'm always a fan of buying the currency as a play," he said, and requests are rolling in to "Mad Money" for a way to own the dinar. | Cramer's Dinar Comments |
 | Jennifer Openshaw | MarketWatch | Oct. 29, 2009 | "What did the Web site recommend? "It said she should invest in Iraqi dinars," my friend said, still amazed at the concept. The handyman recommended this 77-year-old grandmother of seven invest her retirement money in the currency of a nation whose financial condition is so volatile it didn't even make it on to the World Economic Forum's 2009 list of the most economically unstable nations on the planet (Chad, Zimbabwe, and Burundi are the three worst). Kind of takes your breath away." | Link to Jennifer Openshaw Article |
| John Jagerson | NASDAQ/Learning MArkets | April 2009 | "The bottom line is that this (Iraqi Dinars) is an investment opportunity marketed by unregistered advisors to mostly unsophisticated currency investors. No risks are disclosed and past information is fabricated or modified to make the opportunity look better than it really is. This investment is a gamble at best." | Link to John Jagerson Article |
| Michelle Singletary | Washington Post | January 27, 2008 | "Take, for example, the Iraqi dinar scam. In this con, promoters promise double-digit returns to investors. The promoters tell people that democracy in Iraq and the ensuing peace will stimulate the economy and drive up the value of the post-Saddam Hussein dinar. The Better Business Bureau has seen a substantial increase in complaints from around the world about the dinar scam, with many of them coming from military personnel and civilian contractors. The BBB said people complained that they paid for the currency but never received the money." | Link to Michelle Singletary Article |
| Kimberly Lankford | Kiplinger.com | March 2007 | I have a friend who, along with his buddies, is investing in Iraqi dinars through USACurrencyExchange.com. Please help me enlighten them about what they're getting into. -- Mike Klinedinst, Crossville, Tenn. Tell your buddy to forget his dreams of making a killing in dinars. Since the new Iraqi dinar appeared in 2003 to replace the old currency carrying Saddam Hussein's image, scores of Web sites have begun peddling these so-called investment opportunities. But would-be investors are speculating on a volatile currency in one of the world's most unstable places. Penny stocks are risky enough, but the dinar is not even a penny currency. In mid January, it took 1,313 dinars to equal $1. The offer on USACurrencyExchange.com gets you 250,000 dinars for $238, implying the site is taking a 25% markup. What's more, the currency isn't freely traded. U.S. banks won't buy dinars, nor will the dealers who sell them. In fact, the only way to unload dinars that we know of is on eBay, which recently listed about 500 auctions of new Iraqi dinars. | Link to Kimberly Lankford Article |
| Walter Updegrave | Money Magazine/CNNMoney.com | January 2006 | "In my mind, at least, nothing has changed since I first warned people about investing in the Iraqi dinar in a previous column -- except, perhaps, that individuals still seem willing to buy this currency despite any credible evidence that people who buy it as an investment have earned any sort of return. So my position today is the same as it was before: putting anything more than a few token bucks in dinars as an investment is a lousy idea. Indeed, I don't think you can call it investing at all, since investing implies having some knowledge of the actual value of what you're buying and some reasonable way of calculating an expected return." | Link to Walter Udegrave Article |
| Walter Updegrave | Money Magazine/CNNMoney.com | August 2004 | "My take is unequivocal. Given the difficulty of predicting currency movements, I'm not even a big proponent of investing in established currencies like the euro or the yen....And when it comes to buying and selling the fledgling currency of a fledgling government in one of the most chaotic parts of the world, that goes beyond mere speculation. I'd call it gambling. " | Link to Walter Updegrave ArticleLink to Walter Udegrave Article |
| Bruce Williams | Smart Money | August 2006 | "Currency speculation can be a very rewarding enterprise-but it is fraught with peril. The Iraqi dinar is extraordinarily speculative and has nothing behind it. While it can be observed that Iraq has lots of oil, with the huge amount of turmoil that is currently embroiling that nation and so many amateurs, military personnel and some civilians working there and getting involved in this, it is one of the last currencies I would speculate in just now. " | Link to Bruce Williams Article |
| Sandra Block | USA Today | "PARKERSBURG, WV: WHAT IS ALL THE HYPE ABOUT BUYING THE IRAQI-DINAR? DO YOU FORSEE A SUBSTANSIAL INCREASE OF THIS CURRENCY IN THE FUTURE. DO YOU BELIEVE IT TO BE A GOOD INVESTMENT? THANKS, BOB Sandra Block: Somehow I missed that hype, but maybe it's because I go to bed early and miss the late-night infomercials. Right now, it takes 1,471 dinars to equal $1. Dinars are suitable for framing, though." | Link to Sandra Block Article |
If you are aware of other experts expressed opinions, please leave a comment and we'll include them.
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I was wondering what was expert opinions on the Kuwaiti Dinar during the kuwait war.
I can tell you this….. It is men with money to spend, and little leverage to be had that buy stocks. Unless you have a few hundred thousand to invest into top quality stocks and or managed accounts, you dont have any better chance of getting wealthy in the stock market than you do a devil getting into heaven! Its these very same EXPERTS that told folks to buy ENRON and other corporate DOG’S that ruined peoples lives. Do these EXPERTS know that the American dollar is slowly failing??? These EXPERTS went to college to learn how to trade the stock market and associated funds/bonds/IRA’s and the like. They are not FOREX specialists and I doubt they would recomend buying any foreign currency. Keep in mind that with all the oil that Iraq has… the DINAR is not going down. If it never makes you rich thats ok, just exchange your dinar for dollars and get most of your money back. Furthermore, you may be looking at selling all your dollars in years to come, as our greenbacks are looking for the bottom of the bucket.
I bought a couple hundred US dollars worth. I figure its like gambling. I’ve wasted a couple hundred on worse things. It either becomes worth something or either in 30 years I can show my grandchildren what the new Iraqi Dinars looked like. Heck, by them I’ll probably be able to sell it on ebay as a collector item for the couple hundred I paid for them.
I would say that what is $800 . A week in Vegas as if that is all you spend . Same odds as taking a mil home with you . So have at it and dream big . After all that what we got . Fear God not mens words .I never heard any one say that made it. (I would never Do that agian) But I have nothing to fear but fear it self.
Well Well Well
Kitty Cat Kitty Cat I’m always where the money’s at. Those hot shot investment advisers are full of hot air and have more shit than a xmas turkey!! If they know so much then why don’t they have 5-10 million bucks to show us?? Buy a couple million for 1600-1800 bucks and if in 15 years it goes to 50 cents on the dollar hop on a plane and fly to Iraq. They take 5% off the top for exchasnge so you’ll have $950,000 cash dinero (dinar=dinero) to fly home with. Surely you can save $50,000 over next 15 years so you’ll have 1 million buckos. Only 5% of US population has $1,000,000 or more. So you’ll have more than 95%of the rest of the crowd and will be able to take thier wife to lunch and then someplace to get naked. :))
i had to leave a comment my qualification to do so i am one of those less than 5% who does have over a million dollars and i am buying them!Why?Years ago an adviser told me when microsoft was in infancy dont buy this stock to risky these computers are just a tech flash in the pan..i ignored and bought sold it to soon but i made lots of money……..dont but apple at 83.00 a share its too i high……i bought even on the worst day last week it was 123.00.Now to the dinar i dont suggest you spend your life saving on them.But i do suggest you buy at least 250000 dinar depending on where the cost will vary but less than 100.00 right now the dinar is .00084 +- so they are worth money instantly deduct that from the 100.00 you spend and it isnt that much.If they fail give them to friends and realtives for christmas at some future date.I am giving them a 95% chance of reaching 25 cents each in the very new future that means your 250000 dinar will be worth 62,500.00 american dollars i will take that risk and by the way i bought kuwait dinars at about 1.75 per dinar was also advised NOT to do that i still have them and they are 3.75 the last i checked.This is the least risk investment you will every make it is so small with such a large possible return who cares is it fails they will become collectors items.BUY them just dont break the bank doing so.And before im asked NO i am not a dinar salesman.If they reach post wart levels which i doubt yous have 800,000.00 dollars i figure in the next 5 years if iraq settles they will be about 1.25. take the gamle your chance of making out is much better than a lottery ticket also last but not least consider the vietnam dong thay are cheaper and the chances are better they will go up sooner and i dont sell them either.You will never fly if you dont try.
Frankly! What the hell is the risk in the Iraqi Dinar people. I’m an American retired Master Sargeant and get peanuts from my government after serving over 20 Yrs… Now think about it, the U.S. Government is spending 10 Billion dollars a month in Iraq to make a thriving booming economy so that we can lose all that money. Duh! I don’t think so fellas! It’s a no brainer, get some of that Floos or else U will Lose. Floos is money in arabic for all you investing wizards that lost all that money on Wall Street. My money is on Iraq and I will be a Millionare in a couple of years. I’m with Mr. Big Dick on this one Boyz! Here’s an old Army Motto for U, No pain no gain.
i agree with big dick every investment is risky so jump on the band wagon while the dinar is still at all time lows
Yes, We’re gambling…but I’ve been poor all of my life, working seven days a week, notwithstanding. So, I’m taking a chance. What’s the big deal?
US Navy retired. Served in Iraq for 7 months. Heard all the stories of servicemen who bought Kuwait money after the war, even though there was no proof of it going back up, and was risky…wish i would of taken that risk…
the way i figure it, I would rather spend $500-$1,000 now on it and it be worthless 10 years from now, than to be reading the news 10 years down the road and its gone back to even 25 cents per dinar or even higher, and not have bought it… just couldn’t live with the fact that I could of spent so little on a fair gamble…. and if those experts dont think that the stock market isnt a gamble, then i really dont have any use for their opinion anyway…
what in life isnt risky, and I just have this feeling that all those experts who advise against it, have all bought some, just in case the HYPE turns into a profit…
take 5% of your liquid assets, and buy iraq dinars. if it goes to 0, assuming the other 95% is on bonds @ 5%, your portfolio will yield 0% that year, better than investing in the SP500 in 2008, hey that still beats the market!!!
Heres my 2 cents for FREE!! I agree with the above comments. If the dinar doesn’t go up then give them away to friends,family,etc. But heres another little thing I personally do. I surf ebay. You can usually get 50 notes of 50 dinar for around 25 bucks. WOW. I know thats a lot to spend on notes that aren’t worth shit…. right now (fingers crossed like the rest of us) So here is my little secret. I have about 2 mil in dinar that either i got when I was over there in the sand pit of hell or I find really cheap deals on Ebay. It may cost about a buck to post an auction but I sell 1 or 2 50 dinar notes for 2 bucks and maybe a buck for shipping. I’m not trying to make a killing off reselling them nor do I consider myself a “seller of dinar” but I will say it keeps my ass busy and I do make a few bucks off them here and there. Mostly to pay for my extracuricular activities. I’m not selling them to major investors or anything, just those out there that want one or two so they can show it off, pray it goes up like the rest of us, or keep it as a collectors item. Money is money no matter where it comes from and how much its actually worth. Good luck to everyone out there!! Semper FI “Freedom:For those who fight for it, Freedom has a taste that the protected will never know”
Seems like most who invest in the Iraqi Dinar on this site are ex-military. Those of us who did serve were paid not all that bad by Uncle Sam during our tours, however, that pay declined significantly when it was time to go. Maybe the military people want something to remember the hell they went through and Iraqi Dinars are the best way to get something out of a foreign country for a little investing of their very hard earned money. Whatever the reason is I hope us military members can one day, while sitting on our wrap around porches, smoking stogies and dropping a few brews with their buddies and looking out over the several acres they purchased with the proceeds from investing in a foreign country’s currency while being served drinks by those long lost investment strategists who said it wouldn’t pay off, say, “Yup that thousand bucks I dropped to buy Dinars was a great investment, I’m glad I didn’t listen to that asshole advisor who is now serving us drinks. Bentley, where in the hell are our drinks!”
I suggest that people don’t invest in Iraqi Dinars, that leaves more for me and the buy price might go down. What I do suggest is that “William O Dean” the so called self proclaimed millionaire, since he has so much money, go back to school and learn how to spell and write.
The way I see it is, $800.oo, I would’ve spent in no time on what ever, why not taking a chance on something I have a better chance than winning the lotto, Iraq has the 3rd largest reserve of oil in the world, also their dinars was close to $3.00 at one time. For me I took the chance, I beleve that sooner or later will come true.Good luck to us all.
I bought 100,000 dinars for $120 and plan to buy 200,000 more. All the naysayers (so-called experts) can keep telling me it’s a rotten investment. For around $300, I get the dream of turning that into $300,000 plus. Where the heck else could you get that kind of return?!!! The stock market? I don’t think so. And the crap about not being able to ever cash them in. I don’t plan on cashing mine in until 1 IQD hits 1 USD and according to articles I’ve read, supposedly then you will be able to cash them in at US banks. And if I lose it, so what….it’s $300, for gosh sakes. I’m not going to cry over $300. I would be crying, however, if I DIDN’T buy any and one dinar goes up to $1 US. I would also be kicking myself over and over and over….
I found your blog on google and read a few of your other posts. I just added you to my Google News Reader. Keep up the good work. Look forward to reading more from you in the future.
LIVE AND LET LIVE.MOSTLY I FEEL FOR THE PEOPLE OF IRAQ.IF IT MAKES YOU HAPPY THEN BUY SOME.THEY ARE FUN TO LOOK AT AND LEARN ABOUT.THE KNOWLEDGE I GAIN FROM THE MONEY IS WORTH ALOT MORE THAN ITS VALUE.LOOK AT USA HOUSING.CANNOT NO ONE SEE THAT THE HOME THEY OWN KEPT THEM WARM AND DRY.WHO YOU BRING INTO THE HOUSE TO LIVE WITH YOU IS ANOTHER STORY.THAT IS ALL YOUR FAULT.WILL IT GO UP.WHO KNOWS.JUST BE HAPPY THAT YOU HAVE THE MEANS TO BUY SOMETHING.80 OERCENT OF THE WORLD EARNS 2.50 PER DAY.SEE YOU ARE ALREADY AHEAD AND DONT KNOW IT.JUST FIND A WAY TO BE HAPPY BECAUSE WHO SAID YOU ARE GOING TO BE HERE THE NEXT DAY ANYWAY.LOVE AMERICA
I will say this. If the Iraqi Dinar does like the Kuwaity Dinar did and I did not buy any. I would kick my self in the “ASS”.
So I got a little just in case it did go up.
Someone I know is in IRAQ at present. Army honorable discharged with Post Traumatic Syndromes. He bought 1 Million Dinars while in active duty around 2 years back. He paid $600 for Million and now it is already over $1000 for Million. Honestly what’s worth of $2500 if Dowjones crashed, Nasdaq dipped and so does other indexes. People loose money to investors. Enron F’ed our own USA Citizen. Enron run down few Sub-divisions with their Bankruptcy. Those CEO clumsy bastards getting paid for what lower level worker worked for. If that was in thousands would be OK but these A-Holes get paid in millions of dollars to run the company and country down. People are out of jobs, out of unemployment benefits. Wife found new husband and X-Hubby is doing hand practice (Married to his hands Righty and Lefty). If someone has $2500 – I rather suggest buy as many Dinars as possible. During WW II, Germany was even in worst condition so does Japan. Just take few moments and buy few millions and tuck it away in Pillow Case. Help yourself that you have a chance. God helps only those, who are willing to help them selves. Kuwait was in worst shape, now then 1 KD = around $3.5. Imaging if someone had bought 1 Mil KD in the days of war…….. It is too far just in 1991 and 1992 a few years back. If you were in 20s then you should not be older then 40s. Imaging you ready to retire………. It will happen – IRAQI Dinars will go up. From the October 2009, entire IRAQ will withdraw US Dollars. Commerce exchange will be done by IRAQI Dinars. A diamond is wrapped around with Coal or unshaped looks like a glass. Once it takes a shape it is worth of tons of money. Still thinking…….. USA will not let then billions go worthless. Check history before taking any decision.
I’m an American contractor here in Iraq (Green Zone) and I work with Iraqi Nationals everyday! I’ve spoken to them about many topics! Kurds, Shiite and Sunni alike, want a better life! They want the ‘old” Iraq. They tell me that it was good in the 70’s and they dream it will return again! I believe it will! I’ve been over here for over 4 years now and I’ve followed this IQD topic on 4 different forums during that time! I’ve watched Iraq meet various goals that they had set and I’ve seen the progress first hand. Look at all the countries that are lined up; Russia, China,
France, Germany,Britain, India, Saudi, Kuwait, Jordan, and on and on! Now look at all the money that’s already been invested in Iraq. Do we honestly think Iraq will NOT be successful? Seargent Bilko, in his statement above is absolutely right! “It’s a no brainer”! Be careful with the media,. a firecracker could be set off and burn someone’s hand and they would report ,”the blast that injured one civilian”! LOL! I’ll bet my money on Iraq!
Good luck to all of you,
From the IZ in the Green Zone!!
Next polling day of Iraq could be around year 2010 and please rethink why we should hold Iraqi Dinars for fun? Prime Minister of Iraq Maliki must decide soon to revalue Iraqi Dinars or else, he mightn’t be re-elected as a Prime Minister at all. Please step into his shoes to understand that he must not procrastinate further in such a computer era.
The ‘Experts’ comments are rather out dated…2004, 2006. What are the more current expert opinions?
Sterling savings bank here in Portland Or both buys and sells dinars for account holders. They don’t have the best rates but you are assured the notes are REAL and uncirculated, not some of the wore out worthless or counterifit units you can get screwed with on line and Ebay. As of today I got, after shipping and fees, 933,500 dinars for 1000 usd. I play the lottery. 50 million to one. And these “pink tickets” dont expire in 3 days, you can keep them until you win. I am a realist. I know than tomorrow they are not going to go 1 to1. Ive heard that several times since 2003, all hype put up by the dinar dealers who are the only ones making money right now. A lot has to happen between now and when it ever gets close to 1 to 1. But just maybe Ill make the money for a hunk of beach in Sunny St Somewhere before I retire. Besides Id spend 5 bucks to see a fly fornicate, so whats a grand compared with a slim chance for a million.
Got is most gracious most merciful and will not let iraqi people in deep shit for very long as their country is very damp rich with oil reserve and the people keep keep praying to god for better life. Learn from history of mankind god is very very fair and the same will goes to iraqi people to live in normal life as human regardless of religion. So be optimistic on IQD to rebound its value as before as it is backed by huge oil reserves which real and not just based on forecasting. If we dare to invest in company share which is backed by peopole money sometime less than 1mil, what the heck we are so afraid to invest something backed by billion of dollars.Everyday we are surrounded by fear factor. To marry to second wife we are afraid of first wife, to fly- high, present-audience, boss-sacking, majesty-power so…. We are left as just shift in the street. After the worst scenario, we will only lost USD1000, even we cannot guarenty will wake up tomorow morning. So my advice buy as mush as you can afford.