How To Prepare For One Oncoming Financial Crisis
There’s a storm coming.
The chances of a big recession hitting are very high.
Here’s how to prepare for the upcoming financial crisis.
Left-wing economic policy has placed the country in a bad spot.
Politicians have promised Americans “free” stuff for their vote for decades.
But all politicians are doing is essentially robbing Peter to pay Paul – the money isn’t coming out of their own wallets.
Careless spending has exploded the national debt to $22 trillion.
Entitlement programs and unfunded liabilities have essentially bankrupted the country, and printing more and more money is always a future death sentence.
Eventually, the bill will come due, which has been discovered by various leftist governments.
The 2008 crash didn’t deliver the necessary wake-up call, and Obama “stimulated” the economy by spending even more.
The economy has been due for a recession for years.
Monetary policy set by the Fed ultimately leads to artificial boom and busts that occur roughly every 7-10 years.
Donald Trump’s tax cuts and deregulation efforts, particularly in the energy sector, have beaten back disaster, but the collapse is on the horizon and some economists believe it will be much worse than 2008.
Until the government significantly reins in spending, the pain from each recession will only get worse.
Here are the steps you can take to survive the impending financial crisis.
First, diversify your portfolio with some precious metals.
Over time, gold and silver have been sound hedges against inflation and market volatility.
Since the 1960s, gold’s value has increased by over 3,000%.
Don’t go all in on gold, but have a small portion of your portfolio in precious metals.
Next, wait for a strong investment instead of panicking.
Sitting in cash can require patience because of inflation.
The average rate of inflation is around 3%, so your money loses value if it’s sitting in a savings account accruing 0.1% interest.
This reality leads some people to jump on a bad investment because they want to get into the market.
So if you’re far away from retirement and you have the time to ride the wave with an index fund, it’s a bad idea to jump.
Do your homework now so you’ll have a list of good companies that will be on sale when the recession hits.
Finally, look to a supplemental revenue stream.
The goal would be to acquire or build an investment that’s giving you passive income.
The extra money without expending too much of your time is perfect for weathering tough economic hardship.
There’s also the possibility of creating a side business.
The more revenue you have, the better protected you’ll be against a sudden downturn.
With technology as easy and accessible as ever, there are plenty of opportunities to start a business that could even grow into an unexpected career.
If you start preparing for the downturn now, you’ll be in a good position.
But if you wait too late, the financial consequences could be devastating.