You'd Be A Fool To Hold Anything But Cash Now

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DAVID STOCKMAN: You'd Be A Fool To Hold Anything But Cash Now

AP | Mar. 3, 2012, 6:47 PM | 39,684 | 94

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AP / Louis Lanzano

 

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3 Things You Should Do With Your Extra MoneyWARREN BUFFETT: The Investment You Think Is 'Safe' Is Actually The Riskiest In The WorldWhen Greece Comes Crashing Down, Everything Comes Crashing Down

 

NEW YORK (AP)

[FastFastCar]

So what to invest in now?

[Hamburger]

bottom line.............??

[HP_Lee]

Holding all cash is a big mistake at the point of time, when there are many uncertain conditions and factors. What Buffett asked was right that government bonds are out. But there are many opportunities of this period to earn better yield than cash which depreciates 2.5 - 3.5% yearly. That is the inflation rate that is going at. Still the inflation rate of acceleration hasn't catch up. Once the world economic condition is stabilize, the rate may shots right up to 5 - 6%. Invest carefully and hardwork of research shall bring wealth in years to come. There is no free lunches.

[HP_Lee]

So what to invest in now?

 

Never easy in investing. Just have to do a lot of readings and research. Just a hint, for me "Gold" is no no. The rest, you will just have to educate and read more before taking up a investment product. Read with eyes open before signing on the dotted line.

[Relacklabrudder]

Din he know Warren buffet say the bull climb a wall of worry....

[FastFastCar]

Never easy in investing. Just have to do a lot of readings and research. Just a hint, for me "Gold" is no no. The rest, you will just have to educate and read more before taking up a investment product. Read with eyes open before signing on the dotted line.

 

If USD devalues like what the article implies, gold is a yes yes.

[Friendstar]

Tell that to apple.

 

They have usd100 bio war chest

[HP_Lee]

If USD devalues like what the article implies, gold is a yes yes.

 

Not forgetting, we are in Asia/Singapore. Not in USA. Note that gold have losses its stable store value and trend towards as volatile as equities. It have indeed reaches a level consider speculative. The real physical gold demand is not really there and is just the paper ones that are move fast. If you are using Asian currency to buy a USD gold, than it does not make any sense. Unless you have a USD account meant for hedging purpose. Many have the misconception that gold is an investment product. Gold mining companies is an investment product.

Gold have shot up, because of the 2008 Crises and US printing papers. And central banks accumulating physical gold and pay for very expensive storage facilities. To them, is not a matter of making money or not. Their main purpose is to hedge. Most probably it does not make money after all the expenses. But this activities have already slowdown. If the central banks starts off loading this unused physical gold, this may result a fall in paper gold too. This is not new and it have happened in 1980s, when central bank suddenly off-loading tonnes of gold bar to the market and caused the gold market crashed. It takes almost 20years to move higher. So the real users of gold are electronics and consumers. If I cannot see the underlying value of a investment product, I better not touch. There are much more to these explanation. At the end of the day, it may go high or low. No one knows and is just become so speculative.

 

P/S : Gold Statistics

Edited March 7, 2012 by HP_Lee

[Good-Carbuyer]

So what to invest in now?

5 weeks later I know if I really 100% accurate with my investment at 7%= p.a.

[FastFastCar]

Thanks thanks for teaching a young pandawan like me, so many experts here in this forum to learn from, no wonder my friend ask me to join

[SimonTan]

Small players like us, what can we really do?

We just have to follow the market and participate in whatever ponzi scams. Of course to get out early when the signs of cracks forming.

Else keep cash in bank also LPPL.

 

[HP_Lee]

Small players like us, what can we really do?

We just have to follow the market and participate in whatever ponzi scams. Of course to get out early when the signs of cracks forming.

Else keep cash in bank also LPPL.

 

I have been managing my portfolio of $1.15mil like a tight ship steering with rocks everywhere. A rough return of about 11 - 13 % annually including losses sustained on certain investments. I advice, is to do it yourself, if possible. Never entrust others to run the investment for you. Never take tips from friends or a stockbroker. This will only hurt your wealth further in long-term. Investing in unit-trust funds are not necessarily making good return for long run. Statistics the back dated 20 years, shows hardly a few handful of funds do really make good returns. Choosing funds based on past records are not foolproof for future returns. As long as you know what you are fundamentally aware of, before jumping in any investment products, you never go wrong far. Investing is like driving. The more you practice , better yielding ahead.

 

P/S : You will make mistakes along the way. But do it in a contained manner to avoid permanent lost of wealth. Growing wealth is a long long journey and is life time.

[FastFastCar]

Wow, I am still young and don't have 1.15 million, I managed to save up a little bit though, what can I do with limited capital then, and my boss just threatened to sack me, I feel demoralized.

[Ladykillerz]

Wow, I am still young and don't have 1.15 million, I managed to save up a little bit though, what can I do with limited capital then, and my boss just threatened to sack me, I feel demoralized.

 

if i were you, i will be looking for new job.

[FastFastCar]

if i were you, i will be looking for new job.

 

Yes thinking about it but not sure what I wanna do, sigh

[HP_Lee]

Wow, I am still young and don't have 1.15 million, I managed to save up a little bit though, what can I do with limited capital then, and my boss just threatened to sack me, I feel demoralized.

 

You are young. Move on a new job and spend sometime to learn how to grow your wealth. There are tons of investment classes for you to chose according to your risk profile. I was once like you before. I have worked hard, but also making my money work harder for me. Luckily, I still have a job while continue to look after my wealth.

[HP_Lee]

DAVID STOCKMAN: You'd Be A Fool To Hold Anything But Cash Now

AP | Mar. 3, 2012, 6:47 PM | 39,684 | 94

A A A

inShare.62 Facebook

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AP / Louis Lanzano

 

See Also

3 Things You Should Do With Your Extra MoneyWARREN BUFFETT: The Investment You Think Is 'Safe' Is Actually The Riskiest In The WorldWhen Greece Comes Crashing Down, Everything Comes Crashing Down

 

NEW YORK (AP)