Leading Wealth Educator Stuart Zadel shares his views on the state of the world and economy.
To access the full July 2022 Newsletter Click Here.
Featured Expert Videos
The Elephant In The Room – with Crypto Expert Sydel Sierra
Top News Stories – with Crypto Trader Jonathan Jobe
Economic Updates – with Options Expert Sean Allison
Increasing Clicks 7 Sales – with Online Experts Matt & Liz Raad
Key Numbers For Airbnb – with Airbnb Experts Aaron & Nicole Byerlee
Plus:
Photos
Book Of The Month
Recipe Of The Month
MEME Of The Month
Welcome To Your September 2022 Newsletter
Let me warn you this article may be too steep a gradient for some, so digest it slowly.
Since the 2008 Global Financial Crisis (GFC) we have been in a rising market. In fact, the biggest bull market of our lifetime, which has led to what many have called ‘The Everything Bubble’.
Central Banks of the world have printed previously unimaginable sums of fiat currency into existence, to prop up ‘too big to fail banks’ that should have been allowed to collapse. These banks are now 10 times bigger and whilst this would have been painful for the world, it’s not nearly as painful as what is coming.
This massive liquidity injection and ultra-low interest rates have not only artificially ballooned just about every asset on the planet but has also led to approximately 20% of US Corporations being labelled a ‘zombie company’.
According to the Corporate Finance Institute, ‘a “zombie company” is a term used to describe an uncompetitive company that needs a bailout to operate successfully or an indebted company that is only able to repay interest on its debt, but is unable to reduce the actual principal amount. Therefore, they do not have excess cash or capacity and are stagnant, which means they are too weak to invest or grow.’
These companies too, should have been allowed to fail, as they would have naturally, in a free market. But again, we don’t have free markets, and unnatural government intervention and artificially low interest rates have propped them up and the economy has had to carry this dead weight… till now.
Central banks raising interest rates
Central banks are now aggressively raising interest rates globally in an attempt to combat fierce inflation, (which they have created through unprecedented money printing). The U.S. raised 0.75% this month and Australia 0.5% and with further rises this year all but certain, we are likely now going to see the cleaning out process of this ‘dead weight’ begin – and it won’t be pretty.
See the problem is bull markets make stupid people look smart.
30-something year old university graduates, acting as financial planners for fraudulent banks, that have never run a real business, never moved out of their parents house, and certainly never seen a recession (or depression) or two, are advising people where to invest their money – stocks, bonds, mutual funds, ETF’s.
(Below I’ll share with you the three things the world’s wealthiest families have used to store and pass down generational wealth).
Bulls And Bears
But as the saying goes, “The Bull goes up the stairs. The Bear takes the elevator down.” Some would say, it jumps out the window!
We have already seen this with a 20% drop in the share markets and 60% drop in Crypto’s in the first 6 months of 2022, and now real estate is joining in too. This could be just the start.
This month the IMF just said we are facing the biggest global financial crisis since WWII. They want to solve it by raising interest rates and introducing UBI (Universal Basic Income) giving everyone free money. This is global Marxism or Communism 2.0.
Speaking of communism, Vladimir Lenin said “There are decades where nothing happens, and there are weeks where decades happen.”
In my opinion we are going to witness decades over the remaining 26 weeks of 2022.
But as the saying goes, “The Bull goes up the stairs. The Bear takes the elevator down.” Some would say, it jumps out the window!
Global Crisis
We have already seen this with a 20% drop in the share markets and 60% drop in Crypto’s in the first 6 months of 2022, and now real estate is joining in too. This could be just the start.
This month the IMF just said we are facing the biggest global financial crisis since WWII. They want to solve it by raising interest rates and introducing UBI (Universal Basic Income) giving everyone free money. This is global Marxism or Communism 2.0.
Speaking of communism, Vladimir Lenin said “There are decades where nothing happens, and there are weeks where decades happen.”
In my opinion we are going to witness decades over the remaining 26 weeks of 2022.
So what to do?
First, I would go back with a pen and paper to take notes, and read my last 2-years worth of newsletters and success-tip videos. Make a list of things to do. In particular find my ‘5 G’s video’.
Second, consider getting a significant portion of your assets out of the system and banks and into something solid. The world’s wealthiest families have preserved and grown their wealth for centuries by three primary assets – Gold/Silver, productive farmland, fine art. I would also now add a small portion of Crypto into that mix.
Next, start a ‘Victory Garden’ for your family. In World War II, citizens at home were encouraged to grow as much food as possible to support their families, so precious food could be sent to the fighting soldiers. An engineered food shortage/ famine is coming.
The Victorian government is introducing legislation to make it illegal to grow your own food and also to sell it or give it to friends and family. No, I’m not kidding.
Last year I encouraged you to have at least 3-months supply of non-perishable food at home for your family. I’m sure some of you thought I was nuts. Probably still do!
Stock Up On Everything!
Finally, stock up on everything you’re going to need for the next 2 years.
Modern supply chains took about 30 years to build, 3 years to destroy and will take a lot longer to come back, if they ever do. Personally, I think Globalisation is dead. Indonesia has banned the export of palm oil – it supplies 30% of the world. Russia and Ukraine provide 30% of the world’s wheat and fertiliser – all stopped. China is buying up 50%+ of the world’s food supplies and I think could be getting ready to close off its exports, if not borders.
Every country must now work towards self-sufficiency. Every family must do the same. Start now. Get things you need in advance, seeds, replacement parts, spare parts, storage containers, clean water, tyres, light globes, solar panels, batteries, fertiliser, tools etc.
As an aside, this is why so many young people are in Crypto. They know something is fundamentally wrong with the financial system, they just don’t have the full picture.
And just like the ‘dotcom bubble’ of the late 1990’s, I believe 95% of cryptos will go to zero. The ones that don’t will become the Apple’s and Amazon’s of the future.
As I said at the start, I know what’s written here may be too steep a gradient for some. Hopefully I am wrong, and if I am, I don’t believe you’ll be any worse off for having been prepared. Whilst central banks can print currency, they can’t print food and they can’t print energy and these two things are essential to life on earth.
If you still don’t get it, consider this; if I told you 2 years ago they were going to shut down the world economy, enforce unscientific global mask mandates that reduce oxygen to your brain, lock everyone in their house and attempt to force inject everyone on planet earth with a dangerous deadly experimental drug, you wouldn’t have believed me right?
Yet that’s exactly what’s happened and why I moved out of Sydney 3 years ago in preparation. If you have the strength to mentally accept that is the world we live in, then take comfort in Nietzsche’s quote, “And those who were seen dancing were thought to be insane by those who could not hear the music”… and get on with it. You’ll be glad you did.
Education precedes change.
Get educated and take action now.