Is the world on the verge of another massive global financial collapse? According to Michael Snyder, the answer is “yes”. His recent article “17 Quotes About The Coming Global Financial Collapse That Will Make Your Hair Stand Up” is a must read if you value the opinions of people like Warren Buffet, Mark Mobius, Paul Krugman and a host of other well known business and financial professionals.
What is the consensus among the 17 individuals quoted? Time is running out and there’s definitely going to be another financial crisis…and, it’s going to be worse than 2008.
Nouriel Roubini recently warned that “the collapse of the eurozone was imminent and the crumbling of the international economy would follow in due time”. Roubini, a renowned economist, successfully predicted the housing bust and recession that devastated the American economy.
Roubini also speculates that Goldman Sachs could find itself in the same position as MF Global Holdings, the Wall Street powerhouse that filed for bankruptcy last week. He points out that “Goldman and other banks are as exposed to collapse as they ever were”.
Do the Advisors at Safeguard Financial believe that economic collapse is coming?
Yes. Absolutely. We believe there are 3 factors that will ensure this scenario:
- Complex Financial Instruments. Unregulated derivatives have grown to approximately $600 trillion globally. They are woven into the fabric of every major banking institution in the world and will be one of the major causes of bringing down the economy.
- Lack of Political Leadership. Politicians world-wide are standing on the rooftops, just like Nero, watching Rome burn, and doing nothing about it.
- Greed. It’s the common element that dominates the upper echelon of banking, financial and political systems worldwide. Quite simply, it means “He who controls the gold, makes the rules”. And, the rules don’t favor everyday folks.
According to many professionals, “financial markets are like gigantic casinos that are dependent on huge mountains of risk and leverage staying stable”. Unfortunately, we don’t see that as being possible.
Our hope is that a white knight will ride out onto the battlefield with a magic sword that can slay the dragon of debt and restore order in the economic kingdoms of the world. Well…not really. We stopped believing in fairy tales long ago. But, we do hope things won’t be as bad as what we are thinking.
So, what advice are we giving our Self Directed IRA & 401(k) clients? That’s simple. Continue to exit the stock market and diversify into tangible asset holdings such as income-producing residential properties and short-term real estate loans.
Performance of these investment assets are not dependent upon the movement of financial markets and, in fact, offer a viable alternative to the stock market without the attendant volatility and risk.
For more information on how you can gain complete control and flexibility over your retirement plan and have the opportunity to preserve and grow your investment funds, call us at 877-229-9763 or fill out one of the contact or quote forms on our website www.IRA123.com.
