Hello Pezz, Today’s Report:
(1) Following on to selling equities in Canada and USA, I sold, and got out of equities in first Australia, Hong Kong, Thailand, Singapore, and South Africa;
(2) I exchanged the resulting AUD, Baht, SGD and ZAR for USD;
(3) I retained the resulting HKD in HKD;
(4) I sold CHF (originally gotten by way of swapping from Euro) for USD;
(5) I swapped Yen for USD; and
(6) I exchanged USD for 3 and 6 months USD T-bills.
I may also buy some GLD tonight and put some HKD to good use.
The idea is simple: GoToCash, but make sure the paper has my name on it so that should the financial asset custodian bite the bankruptcy apple, the T-bills indisputably belong to me.
I fear we are no longer in any position to think about gains, for there will be preciously few opportunities, with the possible exception of gold;
I suspect we are well into the time to prepare for losses, and so it is best to be able to recover from losses of all possible sort;
Assuming inflation of everything we need is at 12% per annum rate, the 1% haircut we take each month is cheap compared to the possible cataclysmic downside at this juncture; and
In any case, I still have 10% energy shares (overshot my target of reducing equity to 12% - oh well), and I have physical gold, platinum, and I have paper silver.
So, the order of battle now is as below:
Cash @ 54.5% (8.2% CAD, 29.8% HKD, 16.5% USD in 3-6 mths T-bills)
Bonds @ 1.7%
Physical gold & platinum @ 9%
Rental real estate @ 24.7%
Equity (all Canadian energy, except a bit of SLV, and about 1% in the negative bet that is my new way to wager on the empire's future finance.yahoo.com :0) @ 10.1%
Chugs, TJ
P.S. Whatever is heading this way, we are not familiar with it, and so to stand still and greet it face to face close may be ill advised.
Remember, lonely path is the right way, so as to survive, allowing fighting another day, when chaos will be a gift, crisis a partner, and volatility a friend.
Mean time, the market will screw the greatest number in the harshest way at the most inconvenient time, and not even bother to step over the bodies. |
