"Hindsight is 2020." Won't it be great to put 2020 in the rear-view mirror? My heart goes out to everyone who has lost loved ones, who is dealing with a health crisis, who has or will have financial troubles...the list goes on. No one is unaffected by this crisis, myself included. While people may have bigger concerns right now than money, I hope the information I provide is useful and improves lives.

ALTHOUGH I firmly believe we will survive this pandemic, I am still troubled. 

• 30-40 million people are unemployed, including many friends and family members.

• American cities are under constant distress amidst historical civil unrest.

• Our debt levels, already insanely high, have made the jump into economic hyperspace.

• There is no way to address any part of our unsustainable entitlement system without significantly higher taxes .

• There is a global pandemic. Whether you believe it’s an existential threat or a hoax, the accruing costs are very real.

• The Fed has almost no magic tricks left besides making more fake money out of thin air.

• All of this is occurring during an election year, when both parties will say and do whatever it takes to win the election - no matter the resulting damage.

• The presidential election is likely to be one of the most corrupt and contested ever, which will result in more power struggles, more vitriol, and possibly more violence.

• Business and household failures will be epic.

• The government will extend unaffordable bailout programs, citing emergency response to Covid-19 (again, the election), even though an economic crisis preceded Covid-19.

• The reckoning fiscal alarmists have warned about for years is at our doorstep.

• Yet despite all the elements above, government policy and interest rates are incentivizing people to consume even more, buy bigger homes, and pile on more debt, rather than save. 

• And despite everything above, the stock market is continuously setting new records .

I urge everyone to use their common sense and process everything that is going on, independent from what you’re being fed by the news networks, the politicians, and the so-called financial experts at CNBC. Does it really feel like we have a promising economic environment, or does it seem increasingly likely that we will experience a market crash, a financial collapse, or the devaluation of the US dollar?

This kind of talk may cause me to lose some popularity with my peers. No one likes to hear bad news, especially if they don’t agree with the message or if they feel helpless to do anything about it. But might it be better to be protected no matter what events unfold ?

My hope is that people get inspired to take action. Distrust Wall Street personalities in their relentless hyping of stocks, or when they tell you, during a downturn, that there’s “no place to hide.” And definitely don’t believe either Trump or Biden when they tell you that when they’re elected, they will solve our financial problems. BOTH politicians have already proven that they can not or will not do anything to avoid economic suicide! Both have already spent us into oblivion. Both will continue.

In short order I will focus on solutions . But don’t wait for the email! Please think things through, educate yourself, express your concerns to your financial advisor, don’t hang up until you’re truly comfortable with your strategy…or get in touch.

We will show you how to avoid the coming economic catastrophe and even profit from it when it occurs. Financially, this doesn't have to be bad news, but opportunity . Are you strapped in tight on the roller coaster, believing in safety in numbers? Or are you building an ark?

My very best wishes to you and your families during this time. Please look out for one another.

Sam

Could 2020 be Worse than 2007? – July 2020 (Pdf Download)

* Dividends are not guaranteed. However, companies we use have paid dividends without fair for more than 100 consecutive years.

Disclaimer: This newsletter represents the opinion of Arieff Consulting, Inc, and does not constitute financial, tax, or legal advice.