To wit:
http://www.spiegel.de/international/business/0,1518,806990,00.html
Franz Herrmann, head of the German Association of Savers (BDS), has spent half a century trying to be a good investor. As a child, he filled piggy banks and, as an adolescent, he put money away in his savings account. Later came a building loan contract, in addition to 12 life insurance policies. “Money attracts money,” his father liked to tell him, quoting a German saying. “I was hardwired for saving money,” Hermann explains.
At 52, he says he figured out “what’s going on.” He’d earned money through his business selling beer steins and jewelry in Munich’s city center. But he became convinced that he’d actually lost money through his savings efforts and cancelled his insurance policies, while the small interest earnings from his remaining savings accounts were “eaten up by inflation,” he says. To fight back, Herrmann formed the BDS. Now he makes appearances around the country, warning of “money-destroying instruments.” He’s certain that saving is “state-sanctioned robbery.”
Becoming poorer by saving? As radical as Herrmann’s perspective may sound, a growing number of people share his mistrust.
He was a smart man.
I realized many years ago that banks and savings institution never...never...never pay interest that is near “real” inflation rates...not the fake ones posted by the government for the lemmings to read. The worst thing is, on top of that statement, the government will tax you on any gain you make in the way of interest. How about that?
The only way to keep up with inflation in investments is to either be a genius at the stock market, pay cash for physical assets that don’t depreciate along with precious metals when they are at bargain prices. Another way is to be in small business for yourself like I am.
My investment is my business and it has paid off well over it’s 39 years of operation and will continue to do so until I pass away.
Retirement accounts, savings accounts, IRAs, Keogh, life insurance polices, and retirement systems are dangerous and are subject to instant failure (or seizure from the government) at an instant if the economy crashes. All will be wiped out...and it can (and most probably will in the near future) if we continue on the path to destruction set by our own government and governing body.
However, people will always need things, need repairs, or need equipment to perform their jobs. If money is not available, barter is.
Just food for thought.