Recently (circa October 2010) the manager of the world’s largest private bond fund, also referred to as the Bond King, said that the Quantitative Easing, and various other efforts of the Federal Reserve, essentially represent the biggest Ponzi scheme on the planet and that investors should own fewer bonds.
In addition, over the past 10 years, as a result of excessive money printing leading to a runaway supply of money, we have seen an unprecedented bursting of bubble after bubble … first the tech industry bubble burst, then the telecom industry bubble burst, the housing industry bubble burst, and finally the investment banking industry (including AIG) bubble burst exposing the overall Global Financial Crisis.
With all the financial engineering enabling these activities, it has been estimated that the exposure (which is default insurance) associated with the derivatives, credit default swaps, and mortgage back securities is 50X the GDP of all the economies in the world. There would not be enough money on the planet to pay the insurance claims if only a small part of the underlying collateral such as mortgages and government, or sovereign, (both state and Federal) bonds were to default.
The fact is that the fate of Washington (including the Federal Reserve Bank) and Wall Street (including large Money Center Banks, the Stock, Commodities, & Futures Exchanges, and the Securities Industry) are more interconnected than ever.
Unfettered deficit spending, gluttonous consumption, and government’s control of the economy, and the financial system, has ravaged the business environment, devastated consumer confidence, and pushed the global economy to the brink.
Once again, America’s experiment with a central banking system, and fiat currency, has run its course. In all of the history of money, a fiat currency has never worked. There is a 100% failure rate with fiat currency.
This has lead to an epic financial bubble that is plaguing the United States and will soon bring an end to this once great empire nation.
The question becomes how to protect your financial well-being as the American empire collapses upon itself.
Since modern day bank robbers no longer wear masks, nor do they carry guns, what you know about money will determine whether you become rich or whether you become poor. There will no longer be a middle of the road approach; the middle class is about to be wiped out. Those waiting for the OLD economy to come back will risk losing everything.
The biggest risk in the years ahead is being financially uneducated because the financial industry is “cleverly” exploiting those who are uneducated about money. Since the rules of money have changed forever, it is best to learn about the NEW rules of money in the NEW economy.
As such, it is only natural that a large number of people are quickly undertaking efforts to become savvy with their money, like the insiders, by obtaining sufficient financial education
To gain the necessary financial education, it is best to pursue association with, access to, and membership in, a wealth creation community. As a result, you will learn about alternative wealth creating strategies and consider investments in non dollar- denominated assets … perhaps emerging markets … perhaps energy assets that are inherently useful like oil rigs, hydropower, or methanol plants … perhaps precious metals, rare earths, water rights, oil, natural gas, potash mines, or gold mines … things hard to build, difficult to replace, and costly to substitute … definitely not financial stocks, definitely not retail stocks, definitely not commercial property.
For those wanting protection of their purchasing power in gold, there are several ways that may be appropriate to obtain this protection. These include direct ownership in minted coins, use of gold exchange-traded funds, gold mutual funds, and junior gold stocks. Many are investigating having part of their IRAs in gold, silver, precious metals, and non-dollar denominated currencies.
Additionally, you will want to learn secrets to grow and protect your financial future by using methods and techniques of the rich, like Bank On Yourself. Bank On Yourself is a unique, powerful, and time-tested method that Wall Street, Banks, and Finance Companies do not want you to know. Being part of a wealth creation community, you will learn the secrets of the rich and understand that certain whole life insurance contracts with special features (not widely known) like a “paid-up additions rider” on the policy, enable you to become the source of financing for your home, home repairs, business equipment, college education, and other major purchases like cars, vacations, and even vacation or retirement homes. By using this method, you are able to pay yourself the interest that you would have paid to banks, if you had financed these purchases. You thereby reduce or eliminate the control these institutions have over you.
In addition, for those that truly believe sovereign risk is the greatest risk we all face, it is wise to learn how to implement a multiple flag strategy to diversify this risk or provide protection against higher taxes, capital controls, hyper-inflation, civil unrest, erosion of personal liberty, and the rise of a police state. With a multiple flag system, you consider taking preparations like, but not limited to, establishing a foreign bank account, purchasing some real estate overseas, seeking alternate sources of income, having dual citizenship, and carrying multiple passports.
I trust this post provides a little more insight into the financial crisis that is upon us in terms of the empire of debt, capital being on strike, and the lowering of our standard of living. If you take control of your financial life you can reduce the impact of the volatile stock market and the loss of your nest egg. You can use this insight to increase your lifetime wealth and reach your goals and dreams as long as you become an activist for your money.
by aspenIbiz MikeRead more: http://www.articlesnatch.com/Article/Is-There-A-Conspiracy-For-Your-Money/1804142#ixzz1GJ2krPW9
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