What To Own As The U.S. Dollar Dies

The Market Oracle ^ | 7-5-2014 | Dr. Steve Sjuggerud - Daily Wealth

[blam]

July 04, 2014
DailyWealth

Dr. Steve Sjuggerud writes: So... if the dollar "dies"... what do you do with your money?

In yesterday's DailyWealth, we looked at "The Coming Death of the Dollar." But we didn't cover what you should do with your money to protect yourself.

In Jim Rickards' book, The Death of Money, he has five recommendations. More specifically, he has an asset allocation of five different investments that have stood the test of time in previous inflations and deflations.

Jim says this portfolio should offer "an optimal combination of wealth preservation under conditions of inflation, deflation, and social unrest... while providing high risk-adjusted returns..."

So what's in it?

Jim's recommended "Death of Money" portfolio is:

* 20% gold
* 20% land
* 10% fine art
* 20% alternative funds
* 30% cash

Let's take a look at each of these in a little more detail...

Gold (20%) should do well in extreme inflation... AND deflation. Jim recommends that you physically own gold itself – not an exchanged-traded fund (ETF) or a derivative.

As for land (20%), Jim prefers undeveloped land. Jim believes that land like this "can be developed cheaply at the bottom of a deflationary phase, and provide large returns in the inflation that is likely to follow."

For fine art (10%), Jim is talking about "museum-quality" art. He specifically excludes things like antique cars and wine. He says "a $10 million painting that weighs two pounds is worth $312,500 per ounce, over two hundred times gold's value by weight, and will not set off metal detectors."

I personally asked Jim how he recommends that people buy the kind of art he's talking about. He told me there are art "funds" that hold museum-quality art. (www.TheFineArtFund.com is an example.)

(snip)

[SkyDancer]

1. Weapons

2.Ammo to feed them

All else will fall into shape

[Pontiac]

Door number 1, you eat your kids’ futures.

My kids have eaten their own futures.

They have been too foolish to work for their own futures and I feel no obligation to do it for them.

There will be no inheritance for them. If I leave any assets behind when I go they will not be the recipients.

[Maine Mariner]

I thought Hillary’s financial performance on those trades was nothing short of brilliant (sarc).

[nascarnation]

One FReeper came up with the best snark ever.
Have Hillary’s interviewer ask her (after she claimed to be broke) “why didn’t you get back into commodity trading?”

[Georgia Girl 2]

This guy is so wrong I don’t where to start.

Land? Yeh farmland where you can grow something.
Cash? Uh no the dollar is dying.
Gold? Maybe some fractional coins but junk silver is better
Art? OK if you can eat it.

How about Food, ammo, medicine, booze, toilet paper and a water filter.

[Scrambler Bob]

M4L

[B4Ranch]

Having custody of a loaded weapon does not arm you. The skill to use the weapon is what arms a man.

Conflict is inevitable; Combat is an option. Train for the fight.

Introduce your rifle to the world of long range targets. Long range precision shooting covered in detail.
85 videos that will guide you through each step in learning how to hit long range targets.

[kanawa]

Jim prefers undeveloped land

I've got 50 acres of this. A couple more years and I'm off to enjoy a busy retirement redirection and rejuvenation...

[lostboy61]

Someone has no ideal that art cannot be eaten and it can’t be loaded into a weapon. Also growing food on it is not very good because it’s not very big. Cash when a loaf of bread is 5 grand will not work. Please I can help you with your list.
1.Food
2.Farm land were you can grow some food and hide from the Gov.
3.Weapons and a shit load of ammo
4.Junk silver pre 1965 U.S. 90% coins.
5.Hand tools, TP, meds, booze, and a good BIBLE and learn to pray

[wideawake]

You laugh at this list now, but wait until SHTF and you have no Rembrandts or Modiglianis to trade for food.

[krunkygirl]

I’m impressed with your clear, unemotional thinking.

[Trod Upon]

I recall seeing a lot of that during my forays into The Great White North decades ago. What’s a ballpark figure per acre for totally unimproved woodland up there? And does the government try to give you colonoscopy every time you displace a twig?

[grania]

I'm with you on being prepared. A lot of the collapse will be the unaffordability or unavailability of a lot of things. Have the things necessary for survival, keep the house and surroundings in shape, be able to protect and take care of yourself. I figure that unless it's an end-of-civilization situation, cash will be worth at least something and at least some food will be available. I keep a two month supply of enough foods and beverages for survival.

I have plenty of house cleaning supplies, first aid/basic medical/hygiene supplies, basic clothes, bedding/towels (in case limited water supply makes doing the wash tough), 100 watt light bulbs, flashlights and batteries. These are all things that could be in short supply if there's panic or disruptions to delivery systems.

I'm wondering if some old silver dollars might be a good money choice. They're easy to store and carry and they have a defined value.

[CPT Clay]

lead

[Maine Mariner]

LOL!!

[Ultima]

I have found this website to be a very useful source of information on the economy, gold, and silver.

http://goldismoney.info/forums/

[Vinylly]

Real assets like land, and precious metals. Avoid cash unless it is silver dollars or $20 gold pieces.

[Georgia Girl 2]

“I’m wondering if some old silver dollars might be a good money choice’

We have a few but dimes, quarters and half dollars are better.

[Pearls Before Swine]

Have Hillary’s interviewer ask her (after she claimed to be broke) “why didn’t you get back into commodity trading?”

If not for yourself, how about for your selfless foundation?

[maine-iac7]

to paraphrase Will Rogers: Buy land. they ain’t making any more’