We’re going into another Great Depression.
Everyone should be scared. You’re gonna lose the shirt off your back, pal. That’s what you’ll start to believe if you read social media. This narrative is wrong.
I’m profiting off all the negativity in a way I never have before.
Let me explain why this is one of the greatest times in history to invest money into financial assets.
Most people don’t understand what happened to interest rates
Interest rates have been going up.
You knew that already. But this time interest rates have risen the fastest they ever have in history.
I got a home loan at the start of the year. My repayments have almost doubled. You might think that’s no big deal. You might even think that’s a reason the economy is going to get flushed down the toilet. Well, it’s not.
It’s an opportunity.
When interest rates rise this fast it creates pain. That pain leads the population of countries like America to pressure their politicians to get the interest rates down.
With an election in the US on its way, what do you think the government wants? Interest rates to go down. They need happy voters to get elected.
Only when pain is inflicted will interest rates come back down again. Enough pain has been delivered. It’s only a matter of time.
What I’ve realized is, since the 2008 financial crisis the financial system has been broken. We can’t handle high interest rates anymore like we could in the 70s-80s. Why?
There’s too much debt.
Consumer debt. Government debt. Business debt. Debt everywhere. So whenever we go through this phase of trying to get interest rates back to “normal” they end up right back down.
Look at 2020. A global health crisis breaks out and interest rates hit zero faster than Elon Musk sells a new Tesla.
High interest rates are dead.
Right now interest rates are higher than they were in 2008. LOL. The flashing red lights are everywhere. We know how this ends.
As interest rates go down we will all have more money to spend. That money, like always, will filter back into financial markets.
Low interest rates lead to record-high stock/crypto prices.
Banks collapsing are a good thing
Wait, what?
Yep. If you like money and investing then this banking crisis in America has been a blessing from Jesus Christ superstar himself (thanks mate).
Banks like Silicon Valley Bank went to the wall. They went down and nobody got hurt or lost their savings. Why?
The government and central bank just created money out of thin air to pay for the damage and give depositors back their cash. Nice.
When there’s more money created that floods the system asset prices go up. That’s what we’re seeing right now. Look at the Nasdaq index of tech stocks … it’s booming. S&P 500 is doing well too.
We threw a bat virus and bank crisis at the global economy & it weathered the storm (by design). Once you understand this you can’t unsee it.
Bankruptcy and financial ruin have virtually been outlawed.
Problem happens … central banks print money with zero consequence and plug the holes. Makes sense.
The US dollar is no longer the king
For decades the US has had dominance.
The reason is a lot of us pay for stuff in USD. Trade is done in USD. The USD is seen as a safe haven where you can take a chill pill in rough economic times. But it’s unfair.
30+ countries have moved away from trading in US dollars.
This is bringing newfound freedom and equality to parts of the world that have been censored, bullied, or suppressed.
It’s also giving rise to alternative digital currencies like Bitcoin to be used. Some central banks are now allowed to hold up to 2% of their cash in Bitcoin. Wild.
As the global economy fragments it’ll create more opportunities. More parts of the world will be able to participate in the internet revolution. That means a restructure in labor costs and work locations.
It also means huge productivity gains.
What everyone’s missing about the economy
Let me bring it all together.
All the pessimists, god bless ’em, are stuck in the past. They don’t realize we are living through a digital renaissance.
Artificial intelligence will bring about productivity gains never before seen in human history. Technology will continue to make country borders, the physical world, and old paper currencies worth less over time.
Productivity gains are what drive up prices of stocks, crypto, real estate, gold, etc. This tailwind is stronger than the headwinds from the banking crisis or any other negative you can throw at the economy.
The strategy I’m using (to inspire you)
My strategy right now is to acquire real estate, Bitcoin/Ethereum, and Nasdaq tech stocks.
Asset prices are still low. When the bull market kicks off again record gains will be made like they were in 2020–2021.
Stop letting the pessimists bankrupt you.
Understand the low interest rate environment we’re stuck in. Learn about what money printing does to assets. And go deep on artificial intelligence to see the productivity gains that will drive tech stocks much higher.
That’s how you access generational wealth that most people will miss out on. Being negative right now is stupid. It’s costing you money.
This article is for informational purposes only, it should not be considered financial, tax or legal advice. Consult a financial professional before making any major financial decisions.
