97% Owned - Economic Truth documentary

Want to understand how central banking works? How money is created? How banks manipulate the money supply and inflation? How you’re being lied to? It’s 2 hours long but it’s well worth the watch. 

EDIT: Just wanted to clarify, there’s a lot of “nationalization” and “regulation” talk in this video that I don’t agree with. In fact, I’m not sure I agree with any of the ideas on how to fix the system presented in this video. I am, however, intrigued by the idea one gentlemen in the video had about basing or backing a new currency by energy or energy production, like KWh or something. I think that’s kind of the idea behind bitcoin, not exactly, but close enough. I’d love to read more or explore more on this topic. 

Peter Schiff, a CIA agent, and a couple of fund managers debate about the health and insolvency of US banks. 

I think Peter brings up a very important point that almost all people with a bank account forget: they are the creditors of banks. 

Yes, when you put money into a bank, you are a depositor, but when that money is used as an asset and loaned out by the bank, you instantly become a creditor and the FDIC only insures so much of your deposit. The FDIC also doesn’t have enough money to cover everyone’s losses, because just like fractional banking, insurance relies on only having to pay out a tiny portion of their guarantees. 

Technically, if a complete collapse of the banking system took place, every single depositor would become an unsecured creditor with nothing to show for their deposits. Because the only leverage we receive when we deposit money is the FDIC insurance. Other than that, we are operating on good faith that the bank will remain solvent, not lose our money and return it on demand. 

The reality is that banks leverage our money and they themselves get some sort of security against the loans they make but that security or leverage is not transferable to depositors. We are simply allowing them to use our assets/money in return for “secured vault storage” and, if lucky, a tiny return on investment.  

Banks can come after your assets if you fail to repay their loans but you cannot do the same. Not to the banks that loaned your money and not to the borrowers who took out the unpaid loans. You’re S.O.L. 

The good news is that there are alternatives and people are finally seeking them out and moving their assets. 

moralanarchism:

People Who Own Treasuries are Going to Lose a Lot of Money-Peter Schiff

Schiff thinks the real reason why the federal government is suing the S&P rating agency is because it downgraded U.S. Treasuries last year. Schiff says, “The reason why they’re being sued is not only because of what they did but to send a message to the other ratings agencies that you better not downgrade U.S. Treasuries.” Schiff predicts, “People who own Treasuries are going to lose a lot of money.” Join Greg Hunter as he goes One-on-One with Peter Schiff of Euro Pacific Precious Metals.

Coincidentally, I just adjusted my mom’s investment portfolio last night and I dumped 85% of all her treasury holdings. 

I’ve done really well for her so far and I hope I made the right call. I also suggest that others move out of treasury holdings and find their way into whatever investment they can which focuses on precious metals, multinational corps that focus on emergent markets or foreign corps that do the same and perhaps even agriculture.

Disclosure: I personally have zero investments outside options and preferred shares in the firms I work for/with and some physical gold and silver. I stopped trading in 2007 and I liquidated all holdings in November of 2007. I got out at the perfect time, not that I was a genius or an oracle, because I felt uncomfortable by the growth rate of the market. Thankfully, I’m not a greedy weasel. 

dwangelo:

Episode 4 is up!! Go get it!

Working in “Hollywood” I can tell you that celebs expense EVERYTHING.