It’s no secret the rich tend to stay rich and the poor rarely find their way out of money-grubbing.
The chances of someone of little means finding his or her way to considerable wealth are that much lower.
The question begs: what, exactly, separates the rich from the poor?
Too many people assume the wealthiest people rely on connections, luck or an inheritance to build wealth and retain it across posterity. In reality, those who continue to grow their fortune almost always take a different path than the rest of the investing crowd.
Being a rebel has the potential to pay massive dividends in the investing world. Swim against the tide, buck the trends and you just might develop a successful investing strategy that stands the test of time or at least nets you a quick profit that you can spread out across a diverse portfolio.
Did you know only one of the original Seven Wonders of the World exist today?
The Great Pyramid of Giza is the only remaining member of the Seven Wonders that Philo of Byzantium wrote about in ‘On the Seven Wonders’ over 2,200 years ago.
Although there is considerable debate on who originally created the ‘Seven Wonders of the World’—something no one can debate is what I am going to talk about next.
There are three incredible quotes Albert Einstein made regarding compound interest.
The first two you have probably heard, the third is not known as well and leads towards his secret investment formula.
The first, “compound interest is the Eighth Wonder of the World,” and second, “compound interest is the most powerful force in the universe,” are famous.
But the third and lesser known one, from Einstein, is the quote I think is undebatable.
By Greg Wilson, chief analyst, Crypto Income Quarterly
Imagine you got paid in cryptocurrency on a Friday, and by the next Monday, it had dropped 25% in value. Do you think your landlord would care about that when the rent comes due?
Or what if you made a major purchase in cryptocurrency, and a week later, its price had doubled? You just inadvertently paid twice of what you should’ve.
Here’s an example…
Let’s say someone paid you $1,500 in Dash (DASH) on July 6, 2017… and you were going to use $1,200 of that to pay your rent in a couple of weeks.
Well, you would’ve been in a pickle. DASH dropped 27% during that time, reducing the dollar value of your stake to just $1,096.
It works the other way, too…
What if you’d paid 50 DASH for a TV on February 17, 2017?
Idiots! They've got it all wrong...
A few weeks ago, the "pros" on Wall Street started freaking out – about interest rates.
Specifically, they freaked out about "yield curve inversion."
Yield curve inversion is when long-term interest rates fall below short-term interest rates. As longtime DailyWealth readers know, it's often an early warning sign that a recession is on the way.
That finally happened in March... And the world is now using it as today's fear du jour.
An inverted yield curve does matter. It is a big deal. But the funny thing is, the "pros" on Wall Street have it all backwards.
The yield curve inversion that happened late last month isn't a reason to fear. It DOES NOT mean we should head for the sidelines.
Our in-house contrarian Mike Alkin returns to the podcast. Mike is editor of Moneyflow Trader, where he specializes in discovering mispriced sectors and companies… helping investors profit as stocks move lower.
Mike discusses one of his current favorite short ideas… But he’s not all bear. He also shares one sector he’s bullish on right now [12:41].
I just returned from a business trip and have a wonderful rant about my travels—plus an airline stock you should avoid.
And in my educational segment [52:55] I break down the red flags behind two high-profile stocks.
Justin: Doug, what do you think of the AP censoring writers? Are you surprised at all?
Doug: There was once a time when journalists often had intelligence, integrity, and competence. Many did their jobs – reporting the news accurately, openly disclosing their bias (if any). H.L. Mencken was a model of what a journalist should be. He wasn’t just a reporter. He was a literary maven who had immense stores of knowledge and well-thought-out, fact-based opinions on nearly everything. In addition to a myriad of newspaper and magazine articles, he even wrote a definitive book on the English language and the correct way to use it.
Today, reporters have none of these qualifications. Their only qualification appears to be a BA degree in English, or Journalism.
Maybe it’s just that giants walked the earth in the days before Political Correctness. If Mencken was alive today, he would be shocked and appalled at the midgets who pass for reporters and editors today. He’d be rolling in laughter and disgust at how much the profession has been degraded.
It’s like Orwell’s worst nightmare is coming true. In his novel Nineteen Eighty-Four, the idea behind “doublethink” is to alter the nature of language. Big Brother wants to reduce the number of words that exist, eliminating those that describe non-PC thoughts and actions. They seem to want to institute Newspeak – complete with thoughtcrime, goodthink, bellyfeel, and prolefeed.
Christine Sandler — who previously served as head of institutional sales at American major cryptocurrency exchange Coinbase — has joined Fidelity as its head of Sales and Marketing. In this role, Sandler will reportedly lead the expansion of Fidelity Digital Assets into new markets, as well as take responsibility for institutional customers service.
Sandler’s former experience also includes Head of Equity Electronic Sales for the Americas at Barclays Investment Bank, and Executive Vice President and Global Head of Sales for NYSE Euronext. She also served as Head of Electronic Sales at investing and wealth management firm Merrill Lynch and worked as a buy-side trader.
Fidelity Digital Assets went live in the beginning of March, with a select group of clients. The company said then that “we are live with a select group of eligible clients and will continue rolling out slowly.”
Fidelity Digital Assets head Tom Jessop said at the time that the company is still working on various parts of the platform. He noted that while some users have been on the platform since January, others may wait until September, as it “really depends on the facts and circumstances of each client.”
How do they measure up against the most splendid housing bubbles in the USA? Oops!
In Greater Vancouver, BC, Canada, house prices fell 0.5% in March from February, the eighth month in a row of declines, according to the Teranet-National Bank House Price Index released this morning. It was the sharpest eight-month decline since February 2013. The index is now down 4.3% from the peak in July 2018. And it’s down 2.1% compared to March last year.
This housing market had been on an extraordinary ride: From January 2002 to the peak in July 2018, the index skyrocketed 316% — meaning that prices more than quadrupled. And some of those gains are now unwinding:
Canada’s housing markets barely dipped during the Financial Crisis when US housing markets ran into deep trouble, causing the Mortgage Crisis that begat all kinds of other crises. Canadian homeowners and banks watched the mess from across the border and shook their heads. But now, after an 18-year housing boom, the downturn has arrived in Vancouver and Toronto, among the formerly hottest housing bubbles in the world.
On January 25th President Trump announced an end to the 35-day partial government shutdown.
This day came as a relief to many of the 800,000 government employees and contractors who were left scrambling to cover their bills until their paychecks kicked in again.
A lot of people did just fine during the government shutdown, thanks to emergency savings and the added safety net of a working spouse. But for others, the sudden halt in cash flow created a crisis.
This episode was a reminder for how many Americans live paycheck to paycheck. The Federal Reserve announced last year that 40% of Americans don’t have enough saved to write a $400 check in an emergency.
And growing consumer debt seems to only be making matters worse. Since 2013, we’ve had more debt than in 2008, driven mostly by high student and auto loans.
The good news is we’re paying off this debt fairly well because we’ve just had one of the longest bull markets in history. The bad news is one day the stock market will cycle into a bear market and the economy will slow leaving many scrambling again to pay their bills.
To help you prepare for the next sudden financial crisis, here are 7 steps you can take to shock-proof your finances.
Last week in its annual report, the US government reported that Social Security’s long-term, unfunded liability now exceeds $50 TRILLION.
Moreover, they state that the Social Security and Medicare trust funds will run out of money in 2034.
This is the government’s own calculation.
Bottom line: The younger you are, the less you should count on Social Security in your retirement plans. You must take matters into your own hands and save independently for retirement.
But that’s easier said than done, right? The traditional concept of ‘saving for retirement’ is to set aside some money from your monthly paycheck, and put it in something like an IRA.
That works fine for some people. But what if you simply don’t have any more money from your paycheck to save?
Or what if you’ve already hit the maximum amount you’re allowed to contribute to a conventional IRA?
Historically, Australian gold stocks have traded at a discount to their North American peers. It’s been an odd phenomenon considering Australia is a safe, mining-friendly jurisdiction with a currency like Canada’s.
I have written extensively over the last 12 months about the Commonwealth takeover.
I’ve explained before how the Australian miners, buoyed by a weak Australian dollar and mining-friendly regulations, have been cash flow machines for the last 12 months.
Now these Australian miners are sitting on big cash positions and high share prices.
And when you’ve got a lot of cash and a high share price, it’s time to go shopping for a new asset.
So let’s take a look at who wants to go shopping…
Big Gold Producers and the Australian Interest
The chart below shows the production profiles for the world’s major gold producers.