Friday, March 1, 2013

Time to Choose

Adam Taggart
Two opposing views exist regarding the future of America’s economy and standard of living. One side tells a tale of recovery and return to growth: shale oil and gas deposits are ushering in a new energy boom; the stock market is thriving; the global economy is on the mend; housing is in recovery; jobs are being created and consumer income is on the rise.
The other side tells a tale of growing instability, downside risk and inequality: expensive oil is here to stay; financial security valuations are dislocated from the fundamentals of the underlying companies; the economic recovery is anemic at best; the housing market will not return to its former glory; globally, the US is the best of a bad bunch; the risk of external shocks is under-appreciated and unplanned for.
Taggart is inclined to doubt the optimistic case, and offers the following guidance: Exchange paper assets for tangible ones; find an advisor whose outlook is closely aligned with yours to manage any remaining paper wealth; cultivate resiliency; cultivate community; defend your income stream.
“If you take the above steps, regardless of what happens, you'll be able to sleep at night knowing that you've acted conscientiously according to your convictions. And in the event the bulls turn out to be 'right', few of these steps will serve you poorly. In a secular bull market, hard assets should still appreciate measurably. And personal and community resiliency is always a net positive, regardless of the economic environment.
But if the bulls turn out to be the ones in error, the value of these actions could be priceless.
So get to it. Do your own personal calculus of the risks. Determine where you need to be positioned. And take the necessary steps to get well situated where you assess you need to be.
It's time to choose a side.”
source: peakprosperity

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