Dark Scenario with Silver Lining

 

I live in Palm Beach Gardens, Florida, and it’s truly a very peaceful place to work or retire. The crime rate is among the lowest in the nation. The weather is delightful. And some of the schools, especially The Weiss School, which my wife and I founded 25 years ago, can provide a wonderful education for your children or grandchildren.

So let me ask you: Is this the only place where one can find security, freedom, and happiness?

Of course not. There are many environments like mine — in other towns, other states and even other countries. I know because we also have a family farm in the interior of Brazil, which is also like a paradise for us.

Today, I want to show you how you can — and why you probably must — create your own safe paradise, whether it’s where you live now or elsewhere.

I will show you why the turmoil in today’s world is a sign that you should start working on this sooner rather than later. And I’ll also show you how that same turmoil actually has a silver lining, making it much easier for you to do so.

We must start, however, by confronting the realities of events unfolding today.

Just look around you. Look at how the world we once knew is unraveling — and how rapidly that’s happening.

To better understand it, turn back the clock by one year — to this same day and month one year ago.

Imagine you and I are on a Caribbean cruise together, contemplating the world, speculating about its future. And imagine how you might react if I paint the following scenario about what will happen one year from now.

On October 27, 2013, What If Someone Had

Predicted This Scenario for October 27, 2014 …

The president of the largest nation on the planet annexes territory of a neighboring country, the first such action since the last world war.

His surrogates shoot down a commercial airliner with nearly 300 passengers.

He declares that he’s personally taking charge of his nation’s massive defense industry … in order to build more nuclear weapons.

He fires off an intercontinental ballistic missile … capable of delivering payloads with 100 times more destructive power than the bombs which leveled Hiroshima and Nagasaki.

Meanwhile, 1,500 miles to the south, a new kind of nightmare bursts onto the world scene. They call it a ‘state,’ or ‘caliphate’ and it covers a territory larger than the home country of history’s greatest empire. But, at the SAME time, it’s also a terrorist horde, more brutal than any since Genghis Khan.

The world knows all about terrorist organizations and extremist militias: The one that downed twin towers in the world’s largest financial center. Two others, which lob rockets randomly on civilian towns and cities. Plus the religious fanatics that killed hundreds of Americans in Iraq’s civil war.

By this time, the world also knows all about rogue states — one ruled by feudal mullahs who finance global terrorists … another bombing its own people with banned chemical weapons.

But this is the first time since the dark ages that mankind has seen a rogue state AND terrorist horde rolled into one. It is the first-ever terrorist state with a well-equipped terrorist army!

A terrorist state with 30,000 soldiers and millions of subjects … that collects taxes and exports crude oil … that massacres men, women and children by the thousands … that beheads innocent civilians from foreign lands, and … that instantly transmits the gory images to the far corners of the earth.

A state so powerful that, in order to stop it, the world’s leading democracies find themselves fighting on the same side with the same terrorists and the same two rogue states we just discussed.

A threat so frightening that even those terrorists and rogue states are said to be the “lesser of evils.”

This is truly an unbelievable state of affairs!

What would you have said if, on the deck of that Caribbean cruise together, I described this scenario to you in those exact words one year ago?

What would have been your reaction if I swore that all of this — and more — would come true by this date, today?

Would you have rolled your eyes? Would you have tried to throw me overboard?

Yet, every detail I just mentioned is now a recorded fact. And although we didn’t know the specifics at the time, Money and Markets editor Larry Edelson and our team warned you in our reports — even on our Weiss Research cruise to the Caribbean — that this was going to happen.

That’s history, and now we’re back to the future. So let’s do two things:

First, let’s turn our attention from there to here — from global events to your personal situation. And second, let’s flip a mental switch — from pessimism to optimism, from chaos to stability, from danger to opportunity.

This time, though, I just ask one favor of you. Even if you find my story incredible, please don’t roll your eyes or throw me overboard. Listen carefully. And then act prudently.

Despite all the horrors overseas, my story has great potential to help build your wealth. It is not only possible, but quite probable — provided you learn the lessons of the past and act on my recommendations for the future.

So now let me ask you the most important questions I’ve ever asked you before — or will ever ask you again …

How do you protect yourself from all of these present threats and imminent dangers? How do you create a safe enclave for yourself and your family? Like I’ve created for my family? What precisely do you need to make all that possible?

My friend, the answer is not complicated. It can all be summarized in one simple word: Money.

We all know money doesn’t necessarily buy happiness. But with money, you can buy security and peace of mind. With money, you can have greater freedom and more choices. With money, you can find your personal paradise and live a life you can only dream of now.

Where Will That Money Come From?

The fact is, money — very large amounts of money — are also an important factor in the dangerous state of affairs we see around the world today.

Imagine, for a moment, that you’re a wealthy sheikh or emir, living, say, in Saudi Arabia … Kuwait … the United Arab Emirates … or one of the other oil-rich countries of the Persian Gulf.

You live a privileged life. Your children get the best education money can buy. You have millions of dollars — perhaps hundreds of millions — at your command.

But you also have a serious problem.

ISIS has set its sights on your country or its population — to make it a part of an Islamic Caliphate that encompasses the entire Middle East. Even inside your country, the seeds of radicalism and revolution have been planted.

What do you do? You move as swiftly as you possibly can to get your money and your family to a safer haven. Thousands of others do the same. Big institutions and giant sovereign wealth funds follow. Soon, wave after wave of money is flowing from risk to relative safety, from the Middle East and the Persian Gulf to the United States.

Everywhere I look in the world, I see a similar pattern.

In Europe, I see the crisis in Ukraine coming to a new tipping point, as the cold winter approaches and Russia refuses to provide energy supplies at a cost they can afford.

I see Italy in the throes of its second lost decade, Germany unusually weak, Russia sinking rapidly. I see big tax hikes on the way, the threat of violence hovering over the continent, and countless individuals and institutions rushing toward safer havens.

In Asia, I see wealthy elites doing the same. They’re frightened by revolution in Hong Kong, worried about oil battles with Southeast Asian countries, even spooked by a possible war between China and Japan.

Again, put yourself in the shoes of wealthy individuals and institutions in these nations! What do you do? First, you get the cash you have in the bank out of the region. Then you sell your stocks and bonds and get that cash to safety, too. And you get yourself and family to safety.

So now let me ask you a few specific questions:

Where do you think most of this flight capital is going?

Switzerland and Singapore? Well, that’s a logical answer, but not the right answer. Switzerland and Singapore are two destinations of flight capital. But their investment markets are too small to absorb more than a fraction of the money inflows.

Japan? Another good answer. Japan used to be a big recipient of this kind of fear money. But not anymore. Its economy is also sinking.

“The United States!” you say. Yes! That is THE primary destination of flight capital.

“But doesn’t the United States have its own troubles,” you wonder out loud. Of course it does. But they pale in comparison with the immediate hazards of investing in Europe, East Asia and above all the Middle East.

The U.S. economy IS growing; theirs are stagnating or worse.

The U.S. dollar is strong; their currencies are sliding or plunging.

The U.S. stock market has recently made new all-time highs; theirs are barely moving or in a state of decline.

The U.S. is the ONLY large island of calm, peace and safety in this vast sea of geopolitical and economic catastrophes.

So can you see why I say this could have a huge impact on our future?

Another question …

How MUCH money do you think has been

flowing to the United States from overseas?

Well, I don’t expect you to guess the exact amount.

So let me rephrase the question: Do you think this money can be measured in the millions? Billions? Hundreds of billions?

Our colleague, Larry Edelson, found the answer and he did so by going to some of the most reliable statistical sources: The U.S. Bureau of Economic Analysis (BEA) and the Organization for Economic Cooperation and Development (OECD).

His precise question was: How much has flowed into the United States from overseas since the beginning of 2009?

So now, try to guess the amount.

$500 billion — the equivalent to the entire budget deficit of the United States of America? No. More!

$2 trillion — more than the GDP of Canada, Australia or Spain? No. It was more than that too.

It was $10 TRILLION!

And those flows are accelerating. In fact, The biggest flows took place in 2013 and 2014 — a veritable tidal wave of money rushing toward the U.S. financial markets.

Separately, as you know, the Federal Reserve’s money printing has also driven asset prices higher. Not just gold, silver and food … but also stock prices.

But think about it: All the money printed by the Fed since 2009 is only about one-fourth of the money that’s flowed into the United States from overseas during that same time period.

That’s right: This force is greater than Fed money printing.

How much MORE money could flow our way?

Larry recently did the research and provided the answers:

According to the World Federation of Exchanges, more than $17.2 trillion is now invested in European and Middle Eastern stock exchanges.

That’s over 20 times MORE than the amount of foreign money that flowed into the U.S. in 2013.

And it doesn’t even begin to account for money that’s now invested in the Russian, Hong Kong and Japanese exchanges — where war, rumors of war and economic crises are all converging in the same time and place.

Add the money invested in bonds ($16.9 trillion) … and you can begin to see the full scope of what’s possible.

Just in liquid funds alone — money that can be transferred instantly to a U.S. bank or brokerage account — you’re looking at tens of trillions of dollars around the world that is on the move.

What will foreigners buy with their trillions?

Some of that money could flow into mankind’s most venerable hedges against uncertainty, crisis and inflation: Gold and silver.

Some is also going into U.S. real estate.

But the lion’s share has been flowing — and will probably continue to flow — into U.S. stocks.

Now … please do NOT assume that means ALL stocks will benefit.

This fear money — this flight capital — is coming from very smart, risk-adverse individuals and institutions.

Investors who demand the very best stocks on the market.

They’re not looking to make a quick buck with a handful of obscure, fly-by-night companies.

And they’re certainly not looking to lose it in stocks that are prone to crash and burn.

They’re searching the elite stocks that will zealously protect and preserve their capital … plus also have the greatest profit potential.

As their untold billions flow into the U.S., the demand for that small handful of elite stocks could naturally drive their values higher.

My prediction is that a select group of investors will use this flood of new money to make new fortunes of all sizes. And my mission is to make sure that you’re one of them.

Here are the steps I recommend you take right now:

First, don’t assume that the market will go straight up. Prepare for the downside as well — by accumulating plenty of cash.

Second, use my Weiss Stock Ratings to identify the riskiest stocks and dump the ones that are the most likely to underperform the market or even go down. They are the stocks that get our rating of D+ or lower.

Third, buy only stocks that are ranked at the very peak of my A+ list, and later in this course, I’ll show you exactly how.

Fourth, avoid overtrading. Using a disciplined approach prevents you from buying or selling for emotional reasons.

Fifth, avoid leverage or debt of any kind. It’s both unnecessary and dangerous.

Sixth, use ETFs to diversify for maximum safety and profit potential.

Seventh, use my bear market warning indicator.

Good luck and God bless!

Martin