Safe places (Banks, EMI) to keep legit earned money?

[Golden Fleece]

It's still a speculation.⁠ According to the National Endowment for Financial Education, about 70 percent of people who win⁤ a lottery or receive a large windfall go bankrupt within a few years.

People who⁣ gain windfalls do not know how to be good stewards of their money, because they⁢ have not earned it -- and they do not respect the skill, hard work, and︀ determination necessary to create a fortune. Many crypto millionaires will consider their luck as genius︁ and they will eventually be broke as a result. I would not be surprised to︂ eventually learn that, statistically, the bankruptcy rate turns out to be about the same as︃ for those who win a lottery.

 

[CaptK]

Everything is a risk. Land can be affected by flood, earthquake and locust.

Crypto is‌ what it is, speculation! Just the same as stocks and shares. The price is driven‍ up by performance and scarcity.

Consistency is key and always have an exit strategy. Pick⁠ your poison and hope it doesn't kill you.

 

[Silvio]

So the business is growing︆ so much and yielding so much money and cashflow (I'm assuming over 15% per year)︇ that it can't finance itself and it needs a bridge loan from you that a︈ local bank refuses to give? OK then, I hope it works out for you.

I don't understand how can anybody think that the global monetary system is doomed and about︉ to crash, and at the same time trust anything based in Latin America...

 

[Golden Fleece]

Uh . . . because Latin America and much of‍ SEA actually operates on a capitalist system, just like the U.S. did before 2008. On⁠ a related note, in regard to correlation there are countries in SEA that did not⁤ experience either the 2000 or the 2008 financial crises, because their economies are not yet⁣ global.

In fact, some of these countries do not even have central banks, so they⁢ cannot manipulate interest rates. I trust a capitalist system because I know how it works.︀ I cannot successfully navigate an arbitrary socialist / crony capitalist system. This is economics 101.︁

BTW: I never said that "the global monetary system is doomed and about to crash."︂ There will be a great reset, which is far from doom, and no one knows︃ when that will happen. As I noted earlier, based on those three books about cycles,︄ the most likely time frame for the next financial calamity is 2025-2028. Is that also︅ when the great reset will happen? Who knows.

In short, I make investments that make︆ sense whether or not a great reset occurs. Those investments place me in a great︇ defensive position should the worst happen, but they also provide superior returns with far less︈ volatility even if the world continues to just muddle along. It is a win-win scenario.︉ It is not as if I am dumping my life savings into guns, ammunition, and︊ a secret underground bunker in Idaho.

 

[Silvio]

Are we talking about the same Latin America?

This is worse than a lost decade, more like a⁤ lost 15 years. In this environment even if you get a nice yield, who knows⁣ what will you get when you actually try to sell your land.

Not to mention⁢ the biggest risk in Latin America which are their currencies that lose value like crazy,︀ even against the USD that is being printed non stop (which is pretty amazing if︁ you think about it). I know a few investors in latin america that made money︂ in local currency but realized that they in fact lost money in Dollar terms.

A country that hasn't heard of the concept of mortgages for real estate doesn't sound like︃ a very capitalist system for me. But if it works for you, that's great.

 

[Silvio]

Actually I just checked because it was interesting, apparently the Brazilian Real is one of‌ the strongest currencies in LATAM, and in the 5 years got crushed against the USD‍ from 1 USD = 3.23 BRL to 5.57 BRL.
This means that even if you⁠ got 72% on your investment in 5 years (which is incredible any way you look⁤ at it), you still lost money in Dollar terms.

 

[Golden Fleece]

You are‌ looking at all of Latin America, which includes places such as Venezuela, Cuba, and Haiti.‍ I am looking at one specific country that is the cream of the crop (there⁠ are actually several).

There are a dozen countries that use the USD as their currency⁤ and another dozen where it is used as a quasi-currency. Not included in those two⁣ dozen countries are countries that use the USD for real estate transactions. All the potential⁢ evils that you discuss can be avoided or mitigated through proper due diligence and planning.︀

Mortgages are part of the banking cartel -- the same cartel that has caused untold︁ misery throughout the Western world today.

My whole theme here is to urge people to︂ think outside the box. You are unwilling to do that, so you see the negative︃ in everything instead of all the opportunities. That is not a criticism, just an observation.︄ Most people are like that -- and it is very difficult for them to change.︅

Almost everything good in my life, personal and professional, came from outside the box thinking.︆ Average thinking equals average results (at best) or running off the cliff with the rest︇ of the herd (at worst).

 

[jjrapy]

For sure you can have a good return in southamerica investing in real estate /‌ farmland. I think that’s indisputable. But of course it requires a lot of time, initial‍ capital, effort, etc.

What's interesting for me is that the flow of investments (to call⁠ it someway) is like non-south americans want to invest here (and of course with the⁤ USD power it is very easy) and we (south americans) want to invest outside because⁣ of the easiness for average investor to gain access to financial markets that are non⁢ existent in south america or are poor developed.
Real estate is very expensive for us,︀ as you already mentioned, USD dominates real estate market so only options we have is︁ to open a business, CD, bonds, a few stocks, and some mutual funds.
Even to︂ gain access to some bonds, stocks and mutual funds you must be like a vip︃ client to the bank or broker.

 

[4br]

In answer to the OP.

My main aim is to get a very large tract‌ of land in Russia, big enough that I can gift or non-usury mortgage parcels off‍ to fellow travellers. Although Russia has it's problems economically and suffers from top-to-bottom corruption, I⁠ like the social stance and that it is the only country with any considerable weight⁤ that stands out against the internationalist system. The house would be stocked with all I⁣ need to survive total collapse, principally: food, water, seeds, electricity and knowledge. As mentioned this⁢ is a bulwark against collapse. I am experienced in growing fruit and vegetables.

As a︀ bulwark against either serious turbulence in my life or considerable economic turbulence, $100,000 in gold︁ in a TL-max safe set in concrete.

As a bulwark against modest turbulence in my︂ life or the economy $5,000 in various bank notes, small units of gold, and a︃ fistful of debit cards. I already have this as it is quite simple.

Spread assets︄ far and wide. Current:

EMIs: Advcash (Belize, easy), Airwallex (HK, easy), Bankera (LT, intermediate),︅ Payoneer (US, easy), Wise (UK, easy), PayPal (US, easy), Paysera (UK, easy)
Hybrid crypto-banking wallets︆: Bitwala (DE, easy), Crypteriun (US, easy), Payeer (EE, easy), Revolut (US, easy), Uphold (US,︇ easy), Crypto.com (Malta, easy), Eidoo (CH, easy), SwissBorg (CH, easy), Celsius (UK, easy), Nexo (UK,︈ easy - personal and business)
Banks: First Abu Dhabi Bank (AE, easy), Emirates NBD︉ (AE, easy), RAKBANK (AE, personal - intermediate; business - difficult), Mashreq (AE, easy but with︊ address requirement), AmeriaBank (AM, intermediate), Adikko (RS, easy)
Crypto: SafePal (hardware wallet, zero), Binance︋ (Malta, easy), Bilaxy (HK, almost none), BitOasis (AE, easy), FTX (HK, easy - personal and︌ business), Rain (BH, easy), Youholder (CH, easy)
Brokerage: DukasCopy (CH, easy), eToro (IS, easy),︍ SwissQuote (AE-CH, intermediate)
Crypto yield farms: Autofarm.network, Beefy.Finance, Acryptos.com, Alpacafinance.org, 1Inch.network

easy, intermediate etc.︎ refers to KYC.

Current spread: 70% crypto* / 30% cash, some real estate

* I have played this game before and sold at the top in 2017

 

[Golden Fleece]

I always watch what︄ the very wealthy say and do, because they have access to the best information and︅ often have access to inside information. I watched how the super-wealthy elite in Venezuela fled︆ almost immediately after the election of Hugo Chavez, then the rich (often buying condos in︇ Miami, Panama City, and elsewhere), then the professionals, then the upper-middle-class. Only within the last︈ five years or so have the working poor finally fled into Colombia and elsewhere. The︉ smartest and wealthiest people always leave first.

maxmmm criticizes the perma-bears, and rightly so. But︊ what are some of the super-wealthy and knowledgeable financial people in the U.S. saying? Ray︋ Dalio is the founder of one of the largest investment firms in the world and︌ has amassed a personal fortune nearing $20 billion from his business and investment acumen.

Dalio writes that, as a result of new tax policy and other destructive rules, “the United︍ States could be perceived as a place that is inhospitable to capitalism and capitalists.” Dalio believes there is “the possibility of capital controls” to prevent money from exiting the United︎ States, as well as “prohibitions against capital movements to other assets” outside of the️ US dollar like “gold, Bitcoin, etc.”
https://www.zerohedge.com/news/2021...fund-manager-urges-diversification-out-dollar
Jamie Dimon, CEO of banking giant‌ JP Morgan and another billionaire, published his annual shareholder letter, where he addressed a litany‍ of problems in the U.S. and concluded: "This time it may be different,” i.e., perhaps⁠ this time the US does not emerge stronger from a crisis. You can read his⁤ annual shareholder letter here:
https://reports.jpmorganchase.com/investor-relations/2020/ar-ceo-letters.htm#n7

 

[JohnLocke]

because they can..

It's always easier if you have millions compared to the average Joe with‌ only a few hundred thousands.

 

[jjrapy]

that’s a point

 

[Silvio]

I'm pretty sure that "Venezuela, Cuba, and Haiti" are not included in the MSCI Index‌ of Latin America. Almost any fund that was focused in Latin America is still 50%‍ down from its 2009 peak and it will take them a long time to get⁠ back there (for example BlackRock Latin American Investment Trust), so your point about LATAM countries⁤ avoiding the 2009 crash is not correct.

Now we're talking about the (((banking cartel)))... Soon we'll talk about free︆ masons and then we'll blame the lizard people for all the woes of the world...︇

It really is funny that I used to think very similar to you not too︈ long ago. I'm happy to see also the positives in your idea, if you would︉ share any... So far you've avoided the most important questions- namely what yield you're actually︊ getting and also why such a successful business needs a bridge loan from you at︋ 15% that a local bank refuses to give.

I guess it's your right not to︌ answer, shame you will keep such a great business only for yourself... I'll guess I'll︍ miss out on this 20%+ p.a. farm investment, but I wish you all the best︎ with it.

P.S. You gotta admit it's pretty hilarious that a guy that thinks the️ entire West is going to crash, stock markets are a scam, the banking cartels brings‌ misery to the entire world, mortgages are evil, we gotta go back to farming because‍ there will be a "liquidity event" ... and you're telling me that I see the⁠ negative in everything 🙂

 

[Golden Fleece]

My original point⁣ was 100% correct regarding the fund not being representative of Latin American economies, because the⁢ top ten investments in the MSCI Index of Latin America consist solely of Brazilian and︀ Mexican stocks.

https://www.msci.com/documents/1019...ntries include,period had the index existed).

In fact, 85% of the total value︁ of the fund is represented by only those two nations. So, the problem with using︂ that fund as any type of standard for Latin American economies is actually much worse︃ than I thought. The fund is not, in any way, representative of the Latin American︄ economies as a whole (much less one in which I would do business).

https://www.msci.com/documents/1019...ntries include,period︅ had the index existed).
I am simply preparing for the worst︉ while hoping for the best, while getting far higher yields with far less volatility than︊ I could get with any financial instruments. I guess that is what passes for insanity︋ today. Dumping your entire life savings into unproven crypto is just dandy, but farming and︌ growing food is absolutely insane.

 

[DavidS]

So what will be the signs?

US will ban Bitcoin? Now that we are about︋ to have Bitcoin ETF and public companies are holding it?

Will they ban holding GLD︌ ETFs?

If US does this, and they know it, it will just drive away even︍ more investors. It will lessen the trust even more.

You can't just hold onto money︎ by sheer power it will find a way to trickle away.

You need to establish️ a system that incentivises people to keep money in US and in USD.

I personally‌ think all of this is overblown.

Look at DXY, the dollar strength index, DXY |‍ U.S. Dollar Index (DXY) Advanced Charts | MarketWatch

Is it really doom and gloom? It⁠ has been worse off before and we are fine.

People tend to forget that other⁤ currencies are no better.

And no, you can't "flee to Bitcoin", because at end of⁣ the day you have to pay your taxes in USD.

 

[Cetme308win]

with the democrats in power capital control measures can be applied for sure but that︋ will mean the death of america as well as a financial apocalypse that would kill︌ capitalism.....
If that happens you not only will want to have gold,bitcoin and other defensive︍ assets but plenty of AK47 and ammo because the world could be turned into a︎ worst place