Protecting Your Retirement, 401k and IRA from the Next Recession

Over 50% of CEOs surveyed predict a recession is unavoidable

Over half of all CEOs polled in a recent study and over 60% of all CFOs say that a global economic recession will be upon us by Q1 of 2021. There simply is not enough buying activity from main street to justify the high price to earnings ratios of most stocks on the S&P and the Dow Jones right now.

How to Safeguard Your 401k or IRA from a Stock Market Correction

More than ten thousand baby boomers enter retirement everyday and over half of them have investments in the stock and equities market. None of their financial advisers are going to tell them to sell their stocks and sit in something safer like cash, they’re going to have to figure that out themselves.

The first and most important thing to do is to take care of that old 401k with your previous employer. You may not even know what’s in it, and the investments may not fare well during the next recession.

A good thing to do is to make sure 60 – 70% of your 401k or IRA are in something safe like treasuries and bonds. While you may not continue to make perceived gains from the stock market, you’ll avoid major losses when it crashes down.

One of the best investments you can consider is precious metals, because gold and silver are incredibly undervalued right now. This is why a many Americans are getting a rollover from their 401k or IRA into a Gold IRA for extra security, and to enjoy the gold bull market once it resumes again.

401k to Gold IRA rollover guide

Fewer people are Having Sex and Jewelry Stores are shutting down en masse

It should not come as a shock to most people who understand the growing number of young people still living at home with their parents, that less Americans are having sex since 1989.

To add to this newfound involuntary celibacy, younger Americans are not getting married, having kids, buying homes, or even new cars the same way baby boomers used to. This is largely due to massive student loan debt and a shortage of real jobs that people could make a career out of.

Consequently Zale’s and Jared’s jewelers have started closing down over 300 stores in the last 2 years in an effort to meet deceasing consumer demand.

Many shopping malls are seeing less foot traffic as well, and the vacancies at the once great American shopping mall are starting to make an age old institution start to look more like a ghost town.

Americans owe $700K per person to pay off all government debt

If you thought the federal debt was only $22,000,000,000,000.00 USD (still unable to ever be paid off), then you’ll be in awe to learn the real national debt is around $100 trillion.

This is because there is nothing in place to pay for social security, medicaid and medicare. No one knows how we’ll ever balance a federal budget if we ever do, again.

Recent Federal Reserve Chairmen are Trying to Keep the Stock Market Bubble Inflated

Can you trust the Federal Reserve? I don’t think they can even trust themselves.

After a 2018 where they continuously raised interest rates to increase the federal funds rate, a stock market collapse in the making at the year’s end caused Federal Chairman Jerome Powell to renege on his promises to perform “quantitative tightening” and shrink the Fed Reserve’s balance sheet.

So, instead of getting rid of all that debt the Federal Reserve incurred over the last 10 years propping up the stock market after the Great Recession, the government basically admitted that they cannot ever return things to normal. Instead, even President Trump is publicly calling for more quantitative easing and the lowering of interest rates.

All this from a President who once called the stock market a bubble.

It’s Lights Out for the Current Economic Fraud Being Perpetrated on Americans

The Yield Curve Inverts: A Recession is On the Horizon

 
A traditionally correct indicator of a coming back recession was triggered on Friday, because the three month T bill rate exceeded that of the 10-year Treasury bond. What this implies is that short term government bonds are manufacturing greater return on investment than long term instuments, showing that investors have a weak read of the economy long-run.

Put in a different way, the treasury yield curve inverted.

What’s Supporting the High Prices of this Stock Market?

 
The Federal Reserve System recently opened up that they had no desire to raise interest rates any more for 2019, primarily admitting defeat in a plan to raise rates a minimum of four times this ucpoming year. Upon raising rates in 2018 many times to a nominal rate of solely 2.5%, the exchange began a semi-permanent dive beginning in October, and had a spectacular devaluation on Christmas Eve in 2018.

What this implies is that the FRS is confessing that the economy isn’t that robust in any case, and without 0% interest rates to ensure a lot of free cash injected into the equity and bond markets, the Dow-Jones Industrial Average, NASDAQ and S&P five hundred don’t have a chance in hell to keep their upward trajectory in place.

Federal Reserve Continues to Bide Its Time

 
After reversing course throughout the Christmas holidays on future rate hikes, the Fed has shown their hand, and if you browse the headlines you’ll see that they’re not against dropping rates back to zero, if not going into a vicinity of negative interest rates- charging you cash for merely holding your money in an exceedingly greedy commercial bank.

But perhaps unsurprisingly this is just the result of ten years of quantitative easing, cash printing, tax cuts for the wealthy companies leading to just end up with their own stock share buybacks- events that have occurred in a deceptive time wherever client, corporate, national, and worldwide debt have soared to a combined $250 trillion that at now, everybody admits will never be paid off.

So as we sit and anticipate the worldwide debt default, it’ll be attention-grabbing to work out what happens while housing markets round the world still slide, the college student loan bubble rises to new heights, and currently record retail location closures and other people missing their automobile payments for three months straight paint the backdrop for this brewing perfect debt storm.

Indeed, the economy isn’t as robust because the “experts” are playing for “them”, and central banks around the world are quietly shopping for gold. Gold and silver are at uncomparable historical lows, and lots assume precious metals are the last undervalued investment offered since BitCoin crashed in 2018.

Many Great Ways to Invest in Precious Metals

 

A great way to hold gold and silver is to simply purchase it yourself online. If you have a traditional 401K or IRA and want to take out a meaningful position in precious metals, a Gold backed IRA could be beneficial to your overall portfolio, providing a tax haven, allowing for holding metals and ownership of real gold, and enabling buyers to accept delivery whenever they like.

Gold IRA rollover guide

Watch More Videos on the US Economy:

 

Signs the “Housing Market” Economy is Crashing- and How to Protect Yourself

Canadian Real Estate Sales Crashed in 2018

For the longest time in the developed world, housing has been considered an investment and an asset, not a liability, or even just a home, where ya know, people live. It is only in a massive bubble of speculation like the early 2000s where anyone can think that buying and “flipping” houses is a type of sustainable harbinger of economic growth.

In reality, it is more speculation that is profitable to people who got into the market first, and must sell out and cash out before the “greater fool” smartens up, i.e. those flippers coming in late to the game, so that they are not stuck with massive inventory to liquidate when the banks stop giving out easy loans to unqualified home buyers once the monthly mortgage bills start becoming beverage napkins on the coffee tables of the economically distressed.

Indeed, this is the nightmare many real estate and house flippers woke up to in 2007. And it’s happening again. The problem with viewing housing as an asset or even an investment, is that it forgets the fact that wage growth has been on the decline since 1971 ever since President Richard Nixon took the dollar off the gold standard. I’m sure it’s just a pure coincidence though (sarcasm).

Right now Vancouver home sales have dropped 42.5% total on the year, because there are simply not enough buyers who can afford the inflated prices that pervade the current housing market. In addition to this, the most expensive houses have had major price cuts, foreign buyers have dwindled, and the overall sales volume of home sales has also dried up.

free gold investing roth ira kit

It’s Not Just Canada that is Seeing a Housing Crash

London, England in the UK and Seattle, Washington in the United States have also seen massive price drops in housing, along with other international prestige cities like Sydney, Perth, and Brisbane in Australia. The simple fact is the newer generations don’t make enough money to match the current inventory of housing and to keep the prices on an upward trajectory.

In fact, a shockingly large number of millennials still live at home with their parents. There are simply not enough high-paying jobs available to sustain the current housing bubble. Many people have seen rises in their basic costs of living from rent to food, to buying basic goods and even higher ticket items, as retail stores close in records numbers and malls go empty.

How to Protect Yourself from the Housing Crash

Harry Dent, economics analyst and demographic trends forecaster, is recommending that people sell all existing housing and get out of the market while they still can. Dent says the demographics simply aren’t there any more, as older generations age and go past the pinnacle of their peak-earning years, now readying for retirement, as is in the case with Japan, where the government is now literally giving abandoned houses in the countryside away for free or next to nothing.

With the younger generations lacking the purchasing power to step in and fill the void, existing houses will remain unsold, the building boom for housing will also slow leading to large Dow Jones companies like Caterpillar and big banks seeing losses on their balance sheets as well, and no real need for new houses, the current price of housing still has a long way to go further downward.

Consider selling off any extra homes you may have. Invest in a Gold IRA rollover and protect a significant percentage of your investing and retiring power with a time-tested asset that historically rises during times of worldwide economic instability, recession, or even depression.

If Only My College Professors Would Have Not Been Stuck Holding the Bag in 2008