Money after 2000/01/01

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Let's see if I've got this correct according to the majority opinion: 1. Buy gold and silver to re-establish yourself after/if the fiat system crashes. 2. Cash will be King, but only temporarily (i.e. a few months) 3. Completely out of stocks; only the money market if withdrawal is not feasable/possible. 4. Barter items may be the best investment (chocolate,coffee,etc.) 5. Cascading bank defaults are a certainty; domino theory. 6. When the banks fail; have ammo in reserve.

-- DGBennett (bennett1@peachnet.net), October 01, 1999

Answers

1st. Put money into self-reliant homestead. If have more money, put into 2nd homestead, possibly out of USA (Small Island %-).

2nd. Put money into supplies, one's that you enjoy eating, using, reading. Health and safety related supplies. Tools. Independent heating and power.

3rd. Reserve cache of food & supplies (if confiscated, etc.)

4th. Super-economic means of transportation.

then the above.

-- dw (y2k@outhere.com), October 01, 1999.


DG, More or less. I have some money in Treasuries--10 year inflation adjusted--maybe it will come through... I don't have any ammo...

-- Mara Wayne (MaraWayne@aol.com), October 01, 1999.

VIP PS: Also GIVE, HELP and support others who cannot afford to prep.

-- dw (y2k@outhere.com), October 02, 1999.

Not the majority opinion. Let's take them one at a time.

1. Buy gold and silver to re-establish yourself after/if the fiat system crashes.

This has always been an investment strategy favored by a lot of people, based on the historic use of gold and silver in dire situations. There are a lot of people alive today because they were able to use gold coins to extricate themselves from less than desirable parts of the world. I've seen this strategy advocated for years......however, only to a limited percentage of investment money (typically 10%).

BTW, the recent spike in gold prices have the local denizens acting like speculators, not like people who have prudently laid aside a little gold/silver for emergency purposes.

2. Cash will be King, but only temporarily (i.e. a few months)

Cash may be king. Nothing is certain in life. You have to admit that in a scenario that contains potential bank failures the idea of being able to pay for things (like gasoline at $3 a gallon) is attractive, and may help you through a bad situation.

3. Completely out of stocks; only the money market if withdrawal is not feasable/possible.

Other possibilities include bear market funds (Prudent Bear etc.)if you believe you'll be able to cash in on the funds after rollover, which you must believe is you have money in 401(k) and other tax deferred accounts.

Still other investments could include the long side of oil and heating oil futures, oil and heating oil call options.

Also Treasury (short term) funds. If the financial structure doesn't go down, then the US treasury won't go down, and treauries are probably a better investment than the money market funds that deal in a lot of sort term commerical debt and could be worth less than the $1 a share nominal value should that commercial debt suddenly become worthless due to the failure of corporations.

4. Barter items may be the best investment(chocolate,coffee,etc.)

Actually, I'd look at putting aside enough food to feed some of the neighbors. Call it an investment in living. Barter items might be good to have, but only after everything else is taken care of. How about land? How about livestock? Chocolate and coffee are well back on my list

5. Cascading bank defaults are a certainty; domino theory.

Nope -- nothing is a certainty. They are a possibillity.

6. When the banks fail; have ammo in reserve.

Dumb, troll. If the banks fail, don't live within 5 miles of a 7-11

I'll add another couple of items to the list.

7. Get out of debt. This is more important than the amount of gold/silver/cash you have set aside.

8. Learn to live a much more simple lifestyle. Learn to raise your own vegetables, to can foods, to store foods, to heat a home using non-fossil fuels and renewable energy, to not require a two ton SUV that inhales gas.

9. Emergency preparation is important, whether it's for Y2K, a flood, an earthquake, a huge snow/ice storm, or terrorist attacks.

10. Expect neighbors not to be prepared, and take this into account when making your own preparations.

-- de (delewis@XOUTinetone.net), October 02, 1999.


I certainly agree with the mention of above about being PREPARED...and not just for y2k. It's prudent to be prepared for anything and that is one of the things y2k has taught me. I plan to cash in some mutual funds next week to get me out of credit card debt. I just paid my last care payment this month. So if everything goes according to plan , the only debt we'll have is the mortgage. I have to leave my retirment (401K) where it is, but have move 40% out of equities.

Thanks everyone for the dialogue.

quietly

-- quietly (quietly@preparing.com), October 02, 1999.



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