Royalty companies buy a small stake right to gold mines and land with high potential for gold discovery. Or even better a gold royalty and streaming company can offer massive returns if gold spikes. You can do an index of gold miners, junior or senior miners. If you don't want to deal with physical gold, there are leveraged plays you can do that will appreciate in multiples to the gold price. If gold continues to rise you have the benefit of your gold appreciating and the value of the cash investment you made from the loan. This allows you to avoid the capital gains since loans are not taxed, maintain ownership with a lien on your gold, and get cash to deploy in other areas. If you hold gold in a vault you can always take a low interest loan against with the gold as collateral instead of cashing it in. Maybe a small-town supermarket is the best investment right now.Ĭlick to expand.Like everything it depends. IMO alternative assets look great: fancy cars, art, champagne. Bond's value will be crushed when they raise rates Crypto will tank due to margin calls, although it remains one of the safest investment right now (BTC and ETH) Who is still buying gold (besides Peter Shiff)? The stock market is abolished before it crashes.Ĭonsequence: sell your overvalued stocks and shitty altcoins. Option C: A coup happens, the president is now a comrade, and prices are dictated by the state. The stock market bubble will explode due to grim economic outlook. Option B: They rise interest rates and stop giving free money-> this will slow the economy, and prices will come back down. Option A: Nothing changes, they let the deficit, the money printer, and inflation run -> this will slow the economy, and prices will come back down. Inflation was 4.2% in April, according to CNBC. Taking on debt and owning real estate is honestly one of the best hedges against this crazy inflation we're seeing. Or if interest rates start to go up, but that would tank the economy and the fed/govt is too scared to do that for the time being. Which I dont think they will simply because most of these politicians own real estate investments. The only factor I see genuinely being terminal to interest rates is if the cap gains/1031/tax laws are actually passed. Real estate, Id say is one decent place to put your money. What's happening is a mixture of low interest rates, no underlying product, and a massive increase in cost to produce which bottlenecks an industry and skyrockets cost. We actually have a massive housing shortage here in the US, there is not an abundance of people buying 6 houses like there was 12 years ago. I agree sure, these are factors but you also need to look at how ruined the global supply chain is and that the costs of goods to make a house have skyrocketed.
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