Posts Tagged: crisis by design

THE FINANCIAL CRISIS — No Comments
6
Feb 10

Financial Crisis: What can we do about it?

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QUESTION: What can we do about this situation?

There are a couple things that people can do. One, in the book that accompanies the film there’s a chapter on specifically what people can do relative to their own financial futures.  What do you do when the US budget deficit is one and a half trillion dollars?  These figures are mind-numbing. They’re mind-numbing. A trillion and a half dollars.  This is the deficit. That means that the government (who does their financial planning backwards), they go, “Let’s see.  How much are we gonna spend this year?” “Okay, we’ll spend three and a half trillion.” “What’s our income?” “Uh… Two trillion?” “Oh, we’re short”. “We’re short a trillion and a half.”

This, by any viewpoint means there will… interest rates will go up because we’re going to have to increase interest rates to attract borrowers. It means more taxes. Without question. Without question it means these things. So, what does that mean to investors?  We cover that in detail in the book that accompanies the film.

Jumping up a level of responsibility, we cover in the book, and will in the film as well: specific things people can and should do relative to the government in this country, the communications that should go to Congress, so that they wear their hat here, so that they take responsibility for what they should be doing.  Because this agenda is rolling forward completely bypassing, not only the United States Congress, but the Parliaments around the world.  Because the agenda’s being run by central banks and by and large, central banks do not have to report to governments.


Financial Advice — 4 Comments
13
Jan 10

#1 Recommendations on how to protect yourself and your assets

I was sitting in a restaurant in Toluca Lake, California munching on a field of greens salad with gorganzola cheese, candied pecans and a rasberry vinigrette dressing. My Kobe burger had just been served when my cell phone did its thing.

Bruce Wiseman

Author & Writer John Truman Wolfe

I tried not to glance at the phone because the Kobe burger beckoned. But I did. The incoming number was from the San Francisco Bay area,  where my oldest daughter lives, and while it wasn’t her number, I answered the call in case she was trying to reach me.

The call was from James Dines. I was floored. I left Mr. Kobe at the table and walked outside the restaurant so that I could hear better.

….

Last year I wrote a series of articles on the financial crisis. By way of friend, Michael Baybak, one of the articles found its way into the hands of Jim Dines, who is one of the world’s preiminent investment strategists.

Mr. Dines had some very kind things to say about the article. We subsequently exchanged some further communication but haven’t spoken for some months. Yesterday, I received a copy of Dine’s new book GOLDBUG! Which details his investment strategies and predictions covering more than three decades. Preorder GOLDBUG here!

Mr. James Dines

Over the years, James Dines has been branded as “The Original Gold Bug” and while I would in no way compare myself, as Dines has devoted his entire professional life to studing these markets, modesty aside, I could easily be labeled a “Silver Bug” as I have been a promoter of investing in silver for almost as long as Dines has promoted gold (though Dines is a strong silver advocate as well).

The simple truth is that both markets have done handsomely. A quick look back at the last decade shows generous appreciation in both.

On January 10th of 2000, the price of an ounce of gold was $281.70 per ounce. As I write this, it is trading at $1153.40 per ounce.

On January 10th of 2000. Silver was trading at $5.15 an ounce. It is currently trading at $18.75 an ounce.

Do I expect precious metals prices to continue to rise? I do. How high? I don’t know. But the bull market in precious metals is still in play, though I expect silver to experience the most gains.

Having said that, please note the following: I have no crystal ball, and these predictions and $3.55 will get you a Grande decafe latte at Starbucks. Markets change, and sooner or later, this one will too. For now, the future looks bright for precious metals. That’s my opinion. But no guarantees.

While the metals markets have been kind, and I think will continue to be so for some time, there are real concerns with the banking sector as well as with a government truly drunk with the power of the purse.

Let’s take the banking sector first.

NEXT – PREVIOUS – PRESENT


#1 Recommendations on how to protect yourself and your assets

#2 Banking

#3 Money Market Accounts

Financial Advice — 4 Comments
13
Jan 10

#2 BANKING

BANKING

An AP wire story issued last month said, “Regulators on Friday shut down two big California banks as well as banks in Alabama, Florida, Georgia, Michigan and Illinois, bring to 140 the number of U.S. banks brought down this year by the weak economy and mounting loan defaults.”

You don’t have to be a rocket scientist to figure this out folks: in 2005, 0 banks failed; in 2006, 0 banks failed; in 2007, 3 banks failed; in 2008, 25 banks failed and 140 failed in 2009.

Let me be kind, that is an ugly graph and it says something about the banking system. The FDIC is broke – they are going to have to get their “insurance” money from uncle.

Yes, there is coverage for up to $250,000 per account (and sometimes more depending on who’s on the account with you), but if you are in a business where immediate access to your cash flow is critical to your operations, you need to be in a healthy bank. (And if you are carrying balances in excess of $250,000 in one account, shift some of that money elsewhere so that you are covered.

Please check the health of your bank. You can do that at www.bankrate.com. Go to the section on the first page that says “Safe and Sound Ratings.” They have a service there that ranks banks with 1 to 5 stars. If your bank has 4 or 5 stars, you should be fine; if it has 1 or 2 stars, you should move banks. If it has 3 stars, you are in somewhat of a grey zone frankly. You shouldn’t be immediate danger, but keep an eye on the ratings or move.

That’s one way to get an initial overview of the bank’s health. That said, the ratings at bankrate.com just take a snapshot of how the bank looks right now. What it doesn’t do, which is a huge omission, is it doesn’t look at the trend. Is this bank getting better or worse? What condition are they in compared to last year and the year before? Are their delinquent loans growing or getting smaller?

Growing loan delinquencies are important considerations these days and unfortunately the bankrate analysis doesn’t take these factors into consideration. If your bank is a 4 or 5 star bank, it’s probably not a concern, but a 3 star bank with a deteriorating trend is reason to consider moving your money.

If you have a 3 star bank and want a professional look at your bank’s balance sheet (or just want an experienced eye), I do this as a service. As many of you know, I have been a senior credit officer for two banks in California and can take an educated look for you. I charge for this service: $175 per bank and $225 if you also want me to find and recommend an alternative.

I know, it would be nice if I could do it for free, but it takes considerable time for me to do these reviews and then send you my findings.

NEXT – PREVIOUS – PRESENT

#1 Recommendations on how to protect yourself and your assets

#2 Banking

#3 Money Market Accounts

Financial Advice — 1 Comment
13
Jan 10

#3 Money Market Accounts

MONEY MARKET ACCOUNTS

Last year, a group of international bankers called The Group of Thirty, met and issued some recommendations about money market accounts.

On the surface, The Group of Thirty is just an “informal” group of very senior finance people who make recommendations about global banking and finance. But a close look finds it made up of the usual suspects – predators from the Bank for International Settlements, The U.S. Federal Reserve Bank, Goldman Sachs, the International Monetary Fund and others of like kind.

One of their recommendations was that money market accounts should be changed so that there are “…no explicit or implicit assurances to investors that funds can be withdrawn on demand.”

This means that if the institution considers that withdrawals are occurring at an unsafe rate, the money market fund could deny you access to your funds.

It is no surprise at all then that the Security and Exchange Commission recently proposed a rule change that would allow money market funds to suspend redemptions if the board of directors deemed it advisable. The “advisable” is a litany of banker speak, but the bottom line is that not only are money market accounts not federally insured (which has been the case) but now there are conditions under which your deposits are no longer liquid.

Money market accounts are currently paying about .61% of 1% interest. They aren’t insured and, should the rule pass, carry no guarantee instant liquidity.

Move the money to a savings about (under $250,000 and in a well rated bank).

And if your mutual fund has your liquid cash in a money market fund, have them move it to a well rated insured institution.

RETIREMENT ACCOUNTS

About a year and a half ago, I wrote an article entitled, Protecting Your Assets.

The point of that article was,

Which brings us to the point of this article, which is that when the government finishes their spending binge, and wakes up to their eye-watering fiscal hangover, they will turn inward with a vengeance, seeking to filch money from every nook and cranny of the U.S. population.

The article also said in part:

Testimony before the House Committee on Education a few months ago suggested that personal retirement accounts (IRAs and 401Ks) should be converted into government-controlled accounts called Guaranteed Retirement Accounts (GRAs). They would be managed by that bastion of fiscal propriety the Social Security Administration.

California Democrat George Miller’s House Committee on Education and Labor heard a proposal from Teresa Ghilarducci, director of the Schwartz Center for Economic Policy Analysis at the New School for Social Research in New York, to eliminate tax breaks for 401(k) and similar retirement accounts such as IRAs and convert them into Guaranteed Retirement Accounts managed by the Social Security Administration.

Why should we not be surprised then at the January 8, 2010 article in Business Week which reveals the plan by the U.S. Department of the Treasury and Department of Labor to protect you by converting your 401Ks and IRA into annuities that have a steady payment stream?

The U.S. Treasury and Labor Departments will ask for public comment as soon as next week on ways to promote the conversion of 401(k) accounts and Individual Retirement Accounts into annuities or other steady payment streams, according to Assistant Labor Secretary Phyllis C. Borzi and Deputy Assistant Treasury Secretary Mark Iwry, who are spearheading the effort.

These people are snorting Karl Marx.

My article also quotes the Casey Report from a year ago:

Your government considers you a national resource to be exploited. If you don’t get your money out of the country before the government gets your money out of you, you’re an idiot, and you’re going to get what you deserve.

—The Casey Report, January 2009

This regulation hasn’t passed yet, but I hope you can see that there is serious intent to make it so. I strongly recommend that you get with your CPA and or tax advisor and at least run the numbers on what would it mean for you to liquidate those retirement accounts.

I am NOT recommending that you just up and do that. There are significant tax consequences to such moves. But I also want you to be aware that Uncle is looking at gaining control over these assets, and you should undertake an informed analysis of your options before such regulations go into place (should they carry through on their plan).

There is more to this chapter as well as some additional options in the article which is now part of an e-book I have just published. And while it is self serving commercial, I do recommend you buy it and read it.

The book, Crisis by Design has entire chapter of recommendations on how to protect yourself and your assets in these extremely challenging times in the worlds of finance and investment. The book is available at www.behindthewizardscurtain.com.

SOLUTIONS SUMMARY

1- Check out your bank’s safety at www.bankrate.com. If you want a professional analysis of your bank or recommendations for an alternative, contact me at this email address – Bruce@brucewiseman.net

2- Transfer money market assets to bank savings accounts.

3- Consult with your CPA on the advantages and disadvantages of liquidating your retirement account/s should the government move to convert your retirement assets to some kind of “steady payment” annuity.

4-Go to www.behindthewizardscurtain.com and get a copy of CRISIS BY DESIGN. Yes, it’s a commercial, but I wouldn’t have written the book and wouldn’t urge you to read it, if I didn’t think it was important and that it would help you to flourish and prosper.

Have an OUTRAGEOUS 2010.

Bruce

Bruce@brucewiseman.net

www.BruceWiseman.net

RECESSION / THE FINANCIAL CRISIS — 1 Comment
28
Dec 09

Why is the current recession different from past financial crises?

A word from the writer of the film CRISIS BY DESIGN

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QUESTION: Why is the current recession different from past financial crises?

We have a seismic shift here. This is not an ordinary depression – recession – call it what you will. This was a created financial catastrophe. The thing that might be difficult for some people to deal with – to confront – is the fact that it was created. And that’s a matter of really looking at the research. It’s actually a matter of looking at what occurred. Not listening to all the talking heads.
‘Cause CNN, MSNBC, FOX – it doesn’t make any difference. They’re full of people with opinions. But opinions and $3.25 will get you a “Grandé Decaf Latte” at Starbucks. What you have to do is look at what’s occurring, what’s actually occurring. And the fact of the matter is, is that the fiscal autonomy of the United States has been not only compromised, but has officially been dished off to another international agency.

THE FINANCIAL CRISIS — No Comments
11
Dec 09

A bunch of greedy Wall Street types that let things get out of hand

A word from the writer of the film CRISIS BY DESIGN

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QUESTION: Aren’t we talking about a bunch of greedy Wall Street types that let things get out of hand?

Things did get out of hand. People did take advantage of it. But the things getting out of hand were planned. They were strategized. And it was well known that greed factor would take over. And it did. But it was, that greed factor was intended to bring about a certain result. And it did. But it wasn’t just the greed appeared out of nowhere.

This is – I repeat – a crisis by design. So, the people running the show kind of pointed these folks in this direction, knowing that they were throwing blood in the water to the sharks. And surprise, surprise. The sharks went after it.

IMF / THE FINANCIAL CRISIS — No Comments
18
Nov 09

What got you started investigating this story?

A word from the author of the book CRISIS BY DESIGN

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I actually started this research years ago – many, many years ago when I was a banker in San Francisco. And during those years I read a couple of books actually that for lack of a better word “woke me up.” One was called the Wall Street Gang. It was written by a Los Angeles money manager named Richard Ney. And he exposed how specialists, which are people, that operate within the Stock Exchange and make a market for stocks… Basically, controlled the US stock market, or the New York Stock Exchange, by manipulating stocks. And the realization for me at that point was “Oh! Those markets are controlled.” And in fact I used his… I followed his technology, or I used his advice and watched the Dow Jones, and then was able to kind of predict, “Okay good. Well, it’s going up. It’s going down because of these factors.” And those factors traced back to individuals that were controlling things within the Stock Market.

There was a second book I read a little bit after that called – has the kind of corny title of, “How to Make the Stock Market Make Money For You”. It’s written by a guy named Ted Warren. That book is out of print, but it’s available I think at Amazon. And Warren as well, demonstrated statistically how stocks and commodity markets are completely controlled. So this was just additional data to go “Okay. So the markets are controlled.” And much of that control comes from the press. It comes from the media. It comes from PR. So, those people kind of pulling the strings have enough control over the media that all of a sudden you’ll see – you know – positive press on something in particular, and you know it goes up or whatever.

Bruce Wiseman

John Truman Wolfe

I began reading the press from the viewpoint of, “What is it that they’re trying to accomplish here?” And shortly after that, I started following the machinations of the World Bank, and the International Monetary Fund.

These are international banking organizations, financial organizations that were created after the second World War. The war actually wasn’t over. They were created in 1944 at a meeting at Bretton Woods, New Hampshire, to kind of put a financial structure in place for the planet following the war. And these organizations were kind of, somewhat benign for the first few years of their existence and they grew and become nothing less than global financial thugs. And I followed them through the years. In the 90’s I began writing about them – just some articles to show… to try and expose what they were doing. How they were indenturing the planet.

They would create… create a currency crisis in a particular country: usually a third world country. The currency crisis – meaning the value of the currency would be pushed down, would be degraded. That would create economic chaos in the country. Sometimes there’d be riots. And then having had somebody create the currency crisis, the International Monetary Fund, or the World Bank or both of them, these two sisters of the financial apocalypse would come riding in on a white horse and go to the dictator or to the premier or the president, “Gee, you’re having a problem here? Can we help? Would five or ten billion be of any help?” And you know, the guy would wipe the drool off his face and go you know, “Who would control the funds?” “Oh, you would Mr. President.” “Uh huh. Okay. Yeah, I’m interested. You know, what would the repayment terms be?” “Oh, very easy. Interest only.” “Okay, good.” “Just sign here.”

And they would give the guy a loan document to sign (guy or woman – usually a guy). And these loan documents – a copy of which I got a hold of… I read the loan agreement between the IMF and Mexico after a currency crisis in Mexico. And you wouldn’t believe these things. The amount of control of social policy they have of: agriculture, or tax policy. Now, some of the loan agreements call for the control of family planning and contraception.

In other words, the loan agreements give the bank basic control of the social policies of the nation. And I read this thing, and I went, “Woah!” You know, they create the crisis then they get these guys (to) sign it. Well about three quarters of the planet were on these kinds of loan agreements: Eastern Europe, South America, Africa. And the operation here in the United States followed that general scenario. And that’s how I came to it. When I read the article by Timothy Geithner – again, then President of the New York Fed who went, “You know what, we need a global monetary authority here. We need a financial dictator for the planet.” I’m like, “Oh, this is the final move.” This is it. And that’s what prompted the research.

THE FINANCIAL CRISIS — No Comments
23
Oct 09

Financial Crisis: Slaves of bankers… A word from the writer of the film CRISIS BY DESIGN

A word from the writer of the film CRISIS BY DESIGN
John Truman Wolfe Author & former banker

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Financial Crisis: Slaves of bankers…
People have the misunderstanding that elected officials govern countries. This actually isn’t the case. What is really the case is is that governments become indebted to banks and they have to borrow from the banks…from international bankers, from their central bank. And so they become slaves to these lenders. This isn’t conspiracy theory. All one has to do is look at the United States as an example of how this country is now trillions upon trillions of dollars in debt as a result of financing wars, as a result of paying hundreds of billions of dollars in interest. They are slaves to the bankers. And this is true to a lesser degree in other countries around the world. It’s not governments that are running countries. It’s International Bankers.

Click here for project information.

THE FINANCIAL CRISIS — 1 Comment
18
Oct 09

Financial Crisis: Should you care? A word from the writer of the film CRISIS BY DESIGN

A word from the writer of the film CRISIS BY DESIGN
John Trueman Wolfe Author & former banker

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Financial Crisis: Should you care?
Why should we care about this? Why should you care about it? You should care about it because there is now an International organization which we will disclose in the documentary, that has through the central bank of your country, a control of not only the finances of the nation, but access to health records, access to education records, access to compensation. This is real ‘Big Brother’. This is 1984 on steroids. It is happening now. And our documentary will show exactly how.

Click here for project information.

THE FINANCIAL CRISIS — No Comments
14
Oct 09

Financial Crisis: Not a conspiracy… A word from the writer of the film CRISIS BY DESIGN

A word from the writer of the film CRISIS BY DESIGN
John Truman Wolfe Author & former banker

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Financial Crisis: Not a conspiracy…
The time line for the crisis actually starts in Japan, believe it or not, in about 1985. So the plan, the coo, actually has a time line that runs a quarter of a century…and winds up with the crash of 2008 and again the establishment of a global monetary authority in April of 2009. Which incidentally made almost no headlines, almost made almost no media. Is this another conspiracy theory? It is not. This is what actually happened. This is the drama played out on the field of international finance that put in place a control mechanism for the finances of planet earth.

Click here for project information.

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