Best place to park money?

[RElifestyle21]

The same people who predicted the 2008 financial crisis in vivid detail are forecasting a sovereign debt crisis and possible collapse of the US dollar.

So if I had any savings I would be pretty concerned about that, and make sure to invest accordingly.

I have been looking into this for a while. Do you have any investment strategies to suggest to hedge against the fall of the US dollar?? Its a topic I am very interested in to diversify my holdings.

 

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[voltron]

buy a bunch of bitcoin... im only kinda kidding

 

[lnBetween]

I found a bank that will pay me 3% on the money (tax free) and I can liquidate at any time.

Could you elaborate on what bank is offering you 3% tax free that you can liquidate at any time? I also live in Canada and might be interested!

 

[DeletedUser394]

Could you elaborate on what bank is offering you 3% tax free that you can liquidate at any time? I also live in Canada and might be interested!

People's Trust, out of Vancouver. They operate online and have a branch or two I believe.

However that's the TFSA component (hence tax free), so max you can contribute is ~$35k? The limit increases every year though obviously.

Still the money is 100% liquid and can be withdrawn whenever.

http://www.peoplestrust.com/high-interest-accounts/todays-rates-2/

 

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[Maxjohan]

The same people who predicted the 2008 financial crisis in vivid detail are forecasting a sovereign debt crisis and possible collapse of the US dollar.

So if I had any savings I would be pretty concerned about that, and make sure to invest accordingly.

Where can I read more about this? Thanks.

 

[GlobalWealth]

I have been looking into this for a while. Do you have any investment strategies to suggest to hedge against the fall of the US dollar?? Its a topic I am very interested in to diversify my holdings.

I highly recommend a globally diversified strategy to hedge against usd risk. We are advising to keep 10-20% in a basket of currencies (CAD, AUD, NOK, and HKD), 5-10% in precious metals (if the amount is large enough, stored in an offshore vault), 30-50% in cashflow real estate, and the balance in globally diversified dividend paying stocks.

As for real estate, I would advise to have some exposure to foreign real estate. That could be a condo/apartment for rental in a vacation spot, shares/units in a foreign real estate investment fund, farmland, etc. But something outside of the US (or your home country) so you are not subject to local economic risk.

As for stocks, I would advise large caps with global diversification that pay dividends. This gives you cashflow and minimizes stock market risk (dividend payers typically move less in market corrections).

 

[BJBossman]

Hey Rich Kid, this is a great question.

I would recommend cash flowing assets in general, but because you say you might need the money in 2 years that doesn't seem as wise.

Being a private money lender for a Real Estate investor may not be a bad idea. You can get an interest only payment and they pay you back the principal when they refi in a year or 2.

I see your canadian flag picture so I'm assuming you're up there. but for something more liquid that can provide a positive gain even after inflation, municipal bonds can be a nice tax free vehicle here in the US.

Feel free to PM me as well.

 

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[Villain]

@RElifestyle21 – I think the basic idea is to hold PM, stocks/assets in countries that have better economic policy, and generally avoid things denominated in USD. I’m not qualified to give specific advice though!


@Maxjohan

Prediction in 2006 of the 2008 crisis.

“We haven’t solved any of the problems that led to the 2008 financial crisis, in fact all those problems are now larger than ever.”
http://www.youtube.com/watch?v=8W26qsynbWQ

And if you're really interested:

 

[Mattie]

I've heard a lot of people say silver and gold coins. But those are people that don't like notes and using banks.