Unfortunately most people fall into Einstein’s definition of insanity. Repeating the same practice over and over expecting a different result. Einstein had another belief “the measure of intelligence is the ability to adapt to change.” This is the trap most people fall into when it comes to the belief that everything will be alright in the financial markets because they want to believe there is growth and profit as they have seen before. Our global economic system has seen growth for years and until recently there has been security in the fact that financial markets enable us to make money and have this retirement account or “nest egg” to support our living expenses and lifestyle in our retirement years. However, this year we have seen repeated news that Wall-Street has less confidence it will be able to continue showing people a return on their money. The major stock indexes are perplexed by the lack of global growth, the pressures of the U.S.-China trade tariff dispute and the real impact of the negative yields behind the global currencies. The U.S. manufacturing index is at a more than decade low. Europe is essentially bankrupt with approximately $11 Trillion is held in negative yield currency debt or bonds. The U.S. Federal Reserve here in the U.S. cut interest rates to somehow stimulate the slowing economy which is a recessionary market factor. The bonds market saw a yield curve inversion 3 times this year which is a another smoke signal for a coming recession. Remember what happened to teh stock market in the 2008 GREAT RECESSION? We are slipping back the market situation that we all faced 12 years ago when the real estate bubble burst from the resale of mortgage back securities that no Wall-Street bank wanted.
So, how does the average investor or IRA owner rely on their money to carry them through another credit market bubble and Recession if in fact that is what financial market analysts predict?
Well, they cant. They have choices though. You can pull money away from financial markets and sit in cash. Most have now. Timing the markets is always a bad idea as most sophisticated investors even struggle with this practice. The other is to pull money away from financial markets knowing there is an economic down cycle and place their money in an alternative asset area that is in demand with future value predicted. Physical Gold and Silver are in an upward trend again as a safe haven asset that has private store of value that is not tied to the U.S. Dollar improvement that typically performs opposite of the stock market.
You have a choice. When you see smoke and there is smoke trust me. You know a fire is coming. Don’t let the fire catch your money house and burn it down. Remember, you can’t always wait for the market cycle to regain money. You can take some of it and protect in an alternative asset today to provide some insurance for your nest egg.
As Einstein pointed out…don’t repeat the same behavior by opening your IRA statement hoping it will make more money if it’s not. Do something about now before you lose it. Decide to investigate a change now before you regret it…we can show why it makes senses to slice the pie differently with your money today.
Call us at (715)-318-4653 (GOLD) to learn more about Self-Directed IRA’s in Precious Metals and other direct asset solutions!