Aussie Dollar Dropping, page-22

I'm sorry Sammy, that's actually wrong. You failed to include the conversion from usd to aud which would have corrected your calculations. 1USD to Aud at parity for example purposes let's state parity is 1USD = 0.75AUD. 1USD Is invested = 1USD / 0.75 = 1.333. If it grows by 0.2 as suggested in your quoted post. = 1.3333AUD + 0.2AUD = 1.5333AUD. convert back to usd. 1.5333AUD * 0.75 = 1.149975USD. Now just think of the $1 but with 6 0's at the end. Your example of 1,200,000aud*0.75=900,000USD IS incorrect. As the 1million usd at parity is 1.333AUD million. You said it grew to 1.2aud million? You mean it depreciated? Well, of course you lost money. Nothing to do with exchange rates but a poor ROI.