How Alternative Assets Can Help Protect Your Retirement
It’s impossible to predict what will happen to the economy in future. Therefore, many individuals are seeking alternative assets to protect their retirement funds. Smart investors opt to invest in something that they have concrete information. So let’s talk about some crucial information on how alternative assets can help you to remain stable after retirement.
Why Alternative Assets?
When we talk about alternative assets, it means thinking beyond bonds and stocks, which allows us to start focusing more on investing in tangible assets like small businesses, real estate, and gold. With the increase in interest rates, it’s essential to look for diverse ways of investing, such as opening a self-directed IRA to get out of paper or traditional assets.
Traditional IRAs were established in 1974 and allow anyone to invest in a myriad of alternative assets. This alternative investment offers security by reducing the risk of interfering with your retirement savings, and actively hedging against inflation and economic downturns.
Types of alternative assets:
Real estate
In the modern society, people are always seeking places to live and operate their businesses. Real estate is an industry that is expected to keep growing in the future. You can choose to invest in the industry using loans, cash or even your IRA. The main advantage of considering real estate as an alternative is that there are no limitations on the type of properties you can choose. You can be sure to reap good profits if you sell the property in the future as real estate keeps appreciating in value.
Gold
Gold in many instances gets used as an insurance policy by many investors. It is rare, appealing and expensive to buy. Many people prefer investing in gold than other precious metals because it is an asset that never depreciates.
It offers protection for your retirement against inflation and economic downfalls. Gold is a crucial asset that cannot get interfered with by the government because it is legal and alluring.
Gold And Silver – Reverse Bubble. Huge Rally When Broken. Note Bitcoin Results.
Gold and silver are in reverse bubbles, if you will, where price has been both severely distorted and suppressed by central banks, the visible tools of the otherwise hidden moneychangers, those on the top of the population pyramid who want to control and enslave the entire world in a totalitarian state of existence. Ironically, the best and only hope for the [not so] free world comes from China and Russia. It is a twisted world in which we live.
There are so many pieces to the entire puzzle, and for all the known ones, those which are most important are unknown to the great majority. All one can do is to continually monitor events and prepare accordingly. The best predictor of the future has always been past behavior. For centuries, the most reliable preparation has been the ownership of gold.
There is no evidence that it will be any different, this time around. In fact, given the gross manipulation of both gold and silver, once this artificial reverse bubble bursts, the results will be equally distorted to the upside. Where not too long ago, one often heard $5,000 to $10,000 the ounce for gold, the numbers have accelerated to as high as $50,000 and $500 the ounce for gold and silver, respectively.
If anyone wants a glimpse into what the future holds for gold and silver, just look at how Bitcoin has rallied to $1,200+!!! Not even two weeks ago, it traded at $460, and now, it is almost worth the same as an ounce of gold. Without any warrants as to the reliability or sustainability of this recent phenomenon, it clearly shows the appetite for an uncontrolled [by central banks/governments] alternative to any fiat currency. The world is finally waking up to the central banker’s huge fiat Ponzi scheme.
Bitcoin is a digital currency, aka a crypto-currency, that has no intrinsic value. For now, it is an anonymous e-currency taking the world by storm. What seems to be the strongest point for acquiring Bitcoin is that it is continually going up in value, and it is momentum, not fundamentals, that keeps carrying the day. It runs the risk of becoming a Tulipcoin.
Putting aside whether the novelty of Bitcoin can survive any number of stress tests, which it has not yet had to do, any way possible for operating outside of the existing central banking cartel’s fiat scheme has enormous appeal. We do not see Bitcoin going up in value so much as the fiats are eroding in confidence. Where it used to take $400 in fiat Federal Reserve Notes, [FRN] to buy a Bitcoin, it now takes over $1,200 FRNs to buy the same coin. This exposes the downside to fiats.
This is the good news for gold and silver holders. Once the suppressive manipulation bubble bursts for gold and silver, the number of fiats it takes to buy an ounce of gold, [currently about $1,260] and an ounce of silver, [ about $20], will rise in value, as in true measured value. Bitcoin is the precursor for how reality will immediately set in and catapult precious metals that will likely leave Bitcoin in the dust.
As to why the Western central bankers continue to successfully manipulate/suppress gold and silver is open to debate. In large, central bankers set and control currencies world-wide, and most people are oblivious to the insidious nature of fractional reserve banking and the corrupt criminal enterprises that run them. They do it because they operate with impunity and get away with it.
China is becoming an unexpected center stage protagonist for ridding the world of the fiat “dollar, once and for all. It has become their mission, one in which they will not fail.
There is a book entitled “The Ugly American,” from 1958 and a film in 1963 that was popular for some time. Its focus was on America’s inability, even unwillingness to understand foreign cultures, and particularly true of the American government. To that can now be added another adjective, “The Ugly and Ignorant American.” The country is filled with a population that remains clueless about its de facto and bankrupt corporate federal government, and especially its own fiat currency.
China will become the wake-up that will show the world how America is, and has been for a few decades, a Third World country living off the fumes of a once thriving nation. We hope to address China as the likely replacement for both national and monetary superiority, next week.
A look at the charts. There has not been any notable change in the charts since last week. The dramatic rise in Bitcoin is the best reminder for all those buying and holding physical gold and silver, for whatever length of time and at whatever price, better days are assured. It is just a matter of time.
It could be said that the nine week rally from the June low is being corrected by a 13 week decline, which is relatively more labored. While a positive, it does nothing to suggest a turnaround, at this point.
The noted clustering of closes can take price in either direction. One of the advantages of reading developing market activity is that it is followed, not led or anticipated in advance. This means we do not have to know in advance which direction price will head, in the week or more, ahead. Instead, we wait for a concrete signal, and then go with prevailing market strength. It is the best way to avoid being on the wrong side of any market.
Silver’s strong August swing high rally has been negated by the much slower decline that is now trading under the strong rally bar, 3rd from the August swing high. Until the small range of last week, the preceding decline, none of the 4 bars overlapped by much, indicative of a liquidating market. Whether the small weekly range becomes significant, as a potential form of stopping action, remains to be seen.
Price could still go marginally lower and not break the previous zone of support. In any down trend, sellers have proven themselves. The onus is on buyers to demonstrate the ability to effect change. For now, there is no evidence that buyers are stepping in and taking over. The ongoing “fate” of precious metals remains in the central bankers pockets.
Private lending
This is definitely not a well-known investment type, and that’s not because it’s not sought after or profitable, it’s just that it’s an industry secret. When you lend out with a self-directed IRA, you’re essentially acting as a bank, so you can set all of the terms of the loan. You’re also able to be picky about who you loan to, how much their monthly payments will be, and what the interest rates are like.
The amount of assets you want depends on how much you are willing to invest, but it’s common to hear people spending 50% of their savings in alternative assets. However, you have to take caution when purchasing possessions because a prohibited transaction may affect the status of your account.
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