To create wealth requires a combination of skill, timing, risk taking, a bit of luck and a lot of hard work. And, as wealth grows its preservation becomes critically important.
Currently, the level of global debt incurred by leading nations of the world such as the United States, the United Kingdom, the European Union and Japan are at the highest levels in our history. In addition to these high levels of debt, there are unfunded liabilities which have reached unprecedented levels. But, there are also other problems that have to be considered.
Corruption in government as well as incompetence and bad policies such as those in South Africa, Venezuela, Argentina, Brazil, Malaysia, Mozambique, Angola, Ukraine, Nigeria, Uganda, Republic of Congo, Sudan Somalia and Zimbabwe can have catastrophic effects on the economy of the country. And, you can be assured that someone will have to pay for the fiscal irresponsibility of your government, and it sure won’t be the politicians or the financial elite. You, the tax payer will have to pay for their crimes.
If you live, work, bank, invest, own a business, and hold your assets in the same country of your citizenship, then you are putting all of your eggs in one basket. You might think it’s perfectly safe to do this and you probably believe that everything in that one single, solitary country is going to be fine, no matter what happens. And, it probably will be. There’s a good chance that nothing catastrophic will happen to you in your lifetime, but you simply cannot believe that your government is looking out for you.
You must know that you cannot trust your own government or the financial system to protect your wealth. All the money you have worked hard to acquire and the assets you have built up are all under threat.
Then, the other risk is the devaluation of your money. One of the most insidious things the state does is use monetary inflation as a way of paying for things that can’t be afforded. But, this constant inflation eats away at the value of any money you have saved – which undermines its future purchasing power. When you bank domestically you are hostage to your government’s inflationary policies and could face a future financial catastrophe.
The world is entering its most dangerous chapter in decades. The sharp uptick in war over recent years is outstripping our ability to cope with the consequences. From the global refugee crisis to the spread of terrorism, geopolitical tensions are escalating on a daily basis.
Some of the major regions of conflict include the situation in Afghanistan; violence escalating between the Turkish military and armed Kurdish groups in Turkey, Iran, Iraq, and Syria; and the Syrian Civil War.
Violent civil disorder stemming from the political and economic crises in Venezuela, and an armed confrontation between China and its neighbours over disputed territory in the East or South China Seas, are regions of potential conflict. So is North Korea whose development of nuclear weapons is of concern.
The turmoil in the European Union caused by the refugee crisis; a military confrontation between India and Pakistan over a terrorist attack or the contested region of Kashmir; a deterioration of the Israeli-Palestinian conflict; and greater political fragmentation in Libya are other potential conflict zones. And, more violence from militant groups in Pakistan, Russian-backed militias and Ukrainian security forces in eastern Ukraine, and various foreign and domestic factions in Yemen’s civil war.
And, political unrest can also be found in Burundi, Ethiopia, the Democratic Republic of Congo, Thailand and Colombia; increased violence from al-Shabab in Somalia and Boko Haram and other militant groups in Nigeria; a deepening of the civil war in South Sudan; a military conflict between Armenia and Azerbaijan over the disputed Nagorno-Karabakh region; and upheaval linked to the succession of Zimbabwe’s long-time dictator, Robert Mugabe.
Banks around the world are trying to create a world without cash. The introduction of a cashless society empowers banks greatly. It transfers absolute control of the money supply to the banks. And the banks will tell you that it is to prevent money laundering and the financing of terrorism.
There is no end to the deception and trickery of modern day bankers. Despite the fact that all the major global banks have been found guilty of lying and cheating their clients as well as rigging Libor and currencies, their only punishment has been a fine and the cost of legal fees. To date, not one banker has been prosecuted and when the heads of these criminal institutions are questioned they all suddenly suffer from amnesia.
Now, the financial elite are trying to create a one world dictatorship and new monetary system consisting of a cashless society. This deception will give the bankers and financial elite more power and soon they will take your money and not give it back.
Currently, in many developed countries, interest rates for most bank accounts are so low that they fail to keep up with inflation. And, in some instances, depositors have to pay the bank to hold their money. This is the first time in my life that I have seen this!
In this instance, it would be far better for individuals to simply withdraw most of their money and then pay a small fee for a safety deposit box that you stuff full of cash.
This is the world we live in. The facts may be uncomfortable, but it’s all true. These current problems require investors to maintain the utmost vigilance against risks that the world has not experienced for many decades. In such an insecure economic situation, we are convinced that the preservation of one’s wealth is paramount.
It is therefore imperative to protect and internationalize your assets. By diversifying both domestically and internationally, you can dramatically reduce your risk, take advantage of worldwide opportunities to increase your prosperity, and protect your wealth against corrupt politicians and lying bankers.
The four most important decisions you can make which will help you no matter what happens, are…legally reducing your tax obligation, owning physical gold and silver, diversifying your investments and having some money in Bitcoin.
The ultimate way to diversify your investments internationally is to transfer it out of the immediate reach of your home government and into something tangible. Something that cannot be easily confiscated, nationalized, frozen, or devalued at the drop of a hat or with a couple of taps on the keyboard—while retaining as much privacy as legally possible. Physical gold and silver stored in a safe foreign jurisdiction in a non-bank vault fits the bill.
Gold and silver have served as money for centuries and across many different civilizations. Gold in particular is the ultimate tool for diversifying portfolios and protecting wealth from today’s financial reality.
Both physical gold and silver offer investors an international asset that is liquid, has no counterparty risk, and no reliance on government mismanagement, as well as corruption. They have always been inherently international assets.
Lakeshore Trading offers investors the ability to purchase and store gold and silver bullion bars and coins in Johannesburg, New York, Salt Lake City, Toronto, London, Zurich, Singapore and Sydney.
The first crypto-currency was Bitcoin. It was created in 2009 by a pseudonymous developer named Satoshi Nakamoto.
Bitcoin is an online digital money payment system. It is the first decentralized peer-to-peer payment network that enables users to transact directly with each other all over the world almost instantly, without needing an intermediary such as a bank, Western Union, Moneygram, Paypal or any other company.
It is the worlds’ first decentralized digital currency, and it is the largest of its kind in terms of total market value. There is no company or entity controlling bitcoin. Bitcoin is truly the next wave of technology.
Bitcoin as a form of payment for products and services has grown, and merchants have an incentive to accept it because fees are lower than those typically imposed by credit card processors. Unlike credit cards, any fees are paid by the purchaser, not the vendor.
Bitcoin is a non-state currency and payment network. It’s also secured by unbreakable cryptography.
Anyone in the world can use Bitcoin, just like anyone in the world can use email. It does not rely on so-called “trusted” intermediaries or third parties. It has no counterparty risk and no single point of failure.
Unlike paper currencies, bitcoin is an inherently international asset. It has incredible value as an international transfer mechanism. You can take any amount of it in and out of any country. You don’t need permission from any government.
You can send it across any border—or any number of borders—as often as you want. And there’s nothing anyone can do about it.
In short, owning bitcoin lets you act independently and thus escape the financial prison that governments have erected with fiat currencies, central banks, and privacy-killing regulations serving as the bars on the door.
In addition to bitcoin there are hundreds of other crypto-currencies, often referred to as Altcoins.
A cryptocurrency is a medium of exchange like normal currencies such as USD, but designed for the purpose of exchanging digital information through a process made possible by certain principles of cryptography. Cryptography is used to secure the transactions and to control the creation of new coins.
Bitcoin is the largest crypto-currency in both market capitalization, volume, acceptance and notoriety.
Even though it is more volatile than most current fiat currencies, you can become you own banker. Crypto-currencies provide a method of sending and receiving payments anywhere in the world, without permission from your bank. It is possible to do so securely and privately, without relying upon bankers and middlemen. It’s like a Swiss bank account in your pocket.
Of course, Bitcoin will continue to have bouts of volatility, and it is still years away from being completely stable, but as of today, its price stability is on par with the Mexican peso and South African rand.
Bitcoin tends to work as a hedge because it’s disconnected from the traditional financial system. It offers an easy way for people to exit economies that revolve around government money and bad monetary policy.
Buying and selling the crypto-currency is actually pretty simple: all you really need is a credit card, bank account, or PayPal to get started.
But remember, Bitcoin still carries plenty of risk and should only account for a small portion of your portfolio. The best investors are well diversified, and Bitcoin is just one place to potentially grow your wealth.
We obtain the best up-to-date information about crypto-currencies from our global network of experts and use this to assist clients when it comes to investing with crypto currencies. Lakeshore also provides a Separately Managed Account (SMA) consisting of carefully selected crypto-currencies.