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A simple plan to keep your assets safe from an out-of-control government
By Terry Coxon, Casey Research
By keeping all your assets in the country where you live, you commit, ahead of time, to ratify whatever policy your home government might adopt, no matter how objectionable, unreasonable or pernicious that policy happens to be. If the next new mandate is “Register today to get a nail pounded into your head,” you’re already signed up.
Americans, by and large, run all their affairs within the confines of the US. The US economy is so large and so varied that it’s easy to assume that everything you want to do with your wealth can be done without crossing any borders. And people in the US, like people anywhere, live with the habits and attitudes developed over generations. They’re only human. In the case of Americans, those habits grew out of long experience with a government that was small and that generally practiced the rare virtue of following its own laws. In a happy exception to mankind’s experience with rulers, there was little to fear from it. Continue reading
The ABCs of Re-hypothecation in Gold and Securities Markets: What You Need to Know
By Kevin Brekke, Casey Research
A new polysyllabic term has entered the Wall Street lexicon and is sweeping through the investing world like a brush fire through a dry canyon: “hypothecation.” With its connection to the MF Global bankruptcy and aftermath, it engenders the kind of fear a homeowner might feel while monitoring the approaching flames.
The rise of hypothecation as the lead suspect in the MF Global tragedy has caused a fair bit of confusion about what, exactly, it is – and is not. Proving the idiom that nature abhors a vacuum, the blogosphere has weighed in with all manner of explanations, many of which have been less than accurate.
In an attempt to help our readers get to the heart of the matter, we will briefly review hypothecation – what it is and how it is used – and do so in plain English.
There is considerable ground to cover here, so we will get right into it, starting by defining the term, then discussing the role hypothecation played in the demise of MF Global before turning our attention to the question in the minds of many gold investors – was MF Global re-hypothecating gold bullion? Finally, we’ll have some closing thoughts on the potential implications for us as individual and institutional investors going forward. Continue reading
What ‘To The Moon’ Will Look Like
By Jeff Clark, BIG GOLD
This may sound sensationalistic, but I think the odds are very high that, on average, gold producers will sell in the $200 range before this bull market is over. With most of them trading between $20 and $40, the returns could be tremendous. And while the typical junior won’t reach the same price level, their percentage returns will be much greater and potentially life-changing, as you’re about to see.
The timing of this article may seem incongruous, given the recent weak performance of gold and gold stocks. But that was the identical situation in each of the past manias: both the metal and the equities didn’t excel until the frenzy kicked in. The following documentation is actually a fresh reminder of why we think you should hold on to your positions – or start accumulating them, if you haven’t already.
So, are my projections based on some fantastical gold price, or a complex formula for gold stock valuations? Nope. I base my projections simply on what gold stocks have done in the past. And to the surprise of many investors, it’s a performance they’ve logged several times, making the following prices very believable if you’re bullish on gold.
It comes with a warning, though:
Caution: the following tables may cause excitement, drooling, or the temptation to go all in. Read and invest at your own risk. Continue reading
Is Gold Still the Answer for Investors?
By Bud Conrad, Casey Research
Though late to the party as usual, the proverbial man on the street – along with members of mainstream media and Wall Street heavyweights – is finally waking up to the decade-long, 700% increase in the price of gold, joining a growing buzz around the monetary metal. From questions whether gold is in a bubble to predictions that soaring prices are just around the corner, one thing is clear: a new phase of awareness for gold is upon us. How far might it move before these troubling times are over?
The Big-Picture Economic Environment
Kicking things off, I would like to explore several themes in order to put the current economic situation in context. Continue reading
The Most Important Investment Report You’ll Read for 2012. A Free Report from EWI
Elliott Wave International has just released a free report that will help you navigate the year ahead. You’ll get all of the indicators that they have been analyzing over the past year, with 25 eye-opening charts and 14 pages of straightforward commentary. As volatile as the markets have been and will likely continue to be, you owe it to yourself and your portfolio to download this free report.
Download “The Most Important Investment Report You’ll Read for 2012″ Now. (It’s FREE, but only until November 30.) Continue reading
What Are the BEST Technical Indicators for Successful Trading?
8 technical analysis tools that give any trader an edge
You may have seen a TV ad where “traders” describe their strategies, and one says, “I trade on fundamentals.” That sounds very reassuring — except that, on any given day, “fundamentals” are a mixed bag:
- You might have a good U.S. employment report…but bad news from Europe
- A positive Fed statement…but a negative housing number
- Strong earnings…but slowing consumer spending
And so on. Which “fundamental” factor trumps the other? Which one carries more weight in your forecast? Your guess is as good (or bad) as anybody’s.
Your alternative is technical analysis, which forecasts the markets’ short- and long-term moves based on objective metrics, not guesses. Continue reading
“Your Work Helps Me in a Very Practical Way”
Prechter talks with Mind of Money Host Doug Lodmell
Robert Prechter offers a broad overview of the Wave Principle in this interview clip with The Mind of Money host, Douglass Lodmell. Continue reading
Economic Insights from a Lord of Finance
By David Galland, The Casey Report
Of all the social memes related to the economic and investment landscape, none is more dominant than that there is a small cadre of powerful Wall Street money men who, working behind the scenes, effectively control investment markets, the global economy and the politicians that play such a big role in that economy.
Whether you call them fat cats, greedy bankers, soulless manipulators or unindicted co-conspirators, the one sure thing, in the minds of most, is that they wield the power behind all thrones and that it is their whispered agreements, invariably made in darkened rooms full of cigar smoke, that decide the economic fates of us all.
Over the years, I have met quite a few of these “Lords of Finance” and found them to possess the same wide range of traits, positive and negative, shared by all humans: fear, insecurities, self-delusion, high hopes, good intentions, social aspirations, good habits and bad. Continue reading
An Investment Whose Time Has Passed
By Terry Coxon, The Casey Report
Money market funds began as a bright and useful idea, became a habit, and recently have become a bad habit.
Money market funds were invented in 1971 as an innovative end-run around Federal Reserve Regulation Q, which prohibited paying interest on demand deposits. The purpose of Reg Q was to stifle competition in the deposit-taking business in order to benefit commercial banks – at the expense, of course, of depositors.
The regulation had little effect until the late 1960s, when two factors converged. The first was consumer price inflation; it was mild compared to what was soon to follow, but it was still noticeable, and it fueled a general rise in interest rates. The second factor was the arrival of the IBM 360, which made computing much cheaper. Before that device, the administration of checking accounts was still labor intensive and little advanced from the days of green eye-shades. It was expensive for banks to maintain checking accounts, so they weren’t inclined to pay interest on them, Reg Q or no Reg Q. Continue reading
Investing In Real Estate Securities For High Yield
by Charles Petty
Investing in real estate requires investment of not only money but also time and effort. Real Estate investing requires that you buy a property, rehab, maintain it and then rent it out.
But if you want to enjoy the fruits of investing in real estate without all the hassle, then real estate securities is the place to look. Even if you have another business but yet wish to dip your fingers in real estate without investing your precious time, then you can choose from any of the following real estate securities. Continue reading
