Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
"Crash Proof" by Peter D. Schiff - Discussion Thread
Old 08-16-2008, 06:21 AM   #1
Recycles dryer sheets
 
Join Date: Jun 2008
Posts: 184
"Crash Proof" by Peter D. Schiff - Discussion Thread

http://www.audible.com/adbl/site/pro...seBVCookie=Yes

Remember Ravi Batra, The Great Depression of 1990 (Simon and Schuster, New York, 1985)?

It was a best seller at the time.

It wasn't that bad, was it?

So, is it different this time?

Seriously, if you hope to retire or are retired and you find yourself stuck with investments denominated in "New Dollars" bearing the words "In Bernanke We Trust" that buy 10% of what an "Old Dollar" will buy - how is that going to work for you?

Have you read the book?

Has it changed how you invest?
__________________

__________________
Hal3 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 08-16-2008, 08:55 AM   #2
Thinks s/he gets paid by the post
Spanky's Avatar
 
Join Date: Dec 2004
Location: Minneapolis
Posts: 4,046
This seems to be another "Gloom and Doom" book - U.S. will enter hyperinflation/stagflation soon.

His recommendations:
Reduce consumptions -- agreed.
Save more - agreed.
Invest in precious metals -- may be 10% or less as part of a diversified portfolio.
Invest in foreign currency -- this assumes that the U.S. dollars will continue to plummet?
Invest in foreign high dividends stocks -- this assumes that the foreign markets will grow despite the collapse of the U.S. economy?
__________________

__________________
May we live in peace and harmony and be free from all human sufferings.
Spanky is offline   Reply With Quote
Old 08-16-2008, 10:11 AM   #3
Thinks s/he gets paid by the post
growing_older's Avatar
 
Join Date: Jun 2007
Posts: 2,608
I think Howard Ruff also re-issued his "Doom and Gloom" book How to Prosper in the Coming Bad Years. I guess there's money to be made in such a message, and it didn't take much updating to make it fit the "this time it's the same again" scenario.
__________________
growing_older is offline   Reply With Quote
Old 08-16-2008, 10:32 AM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2003
Location: Kansas City
Posts: 7,408
Quote:
Originally Posted by Spanky View Post
This seems to be another "Gloom and Doom" book - U.S. will enter hyperinflation/stagflation soon.

His recommendations:
Reduce consumptions -- agreed.
Save more - agreed.
Invest in precious metals -- may be 10% or less as part of a diversified portfolio.
Invest in foreign currency -- this assumes that the U.S. dollars will continue to plummet?
Invest in foreign high dividends stocks -- this assumes that the foreign markets will grow despite the collapse of the U.S. economy?
I did all that bull crap in the 70's and 80's - it was expensive and painful.

This time it's different?? Your turn. .

This time I shall remain a Boglehead - stay the course, policy portfolio, current yield or 4/5%, etc. Sorta like the last 14 years of ER.

heh heh heh - Target Retirement plus a few Norwegian widow stocks - although I really think foriegn/gold is going to tank this time around.
__________________
unclemick is offline   Reply With Quote
Old 08-16-2008, 10:58 AM   #5
Thinks s/he gets paid by the post
 
Join Date: Dec 2007
Posts: 4,764
Beats me. 2 weeks ago oil was going to 200 and over a month ago gold was the perfect metal..Doesn't take long for things to change.
__________________
Notmuchlonger is offline   Reply With Quote
Old 08-16-2008, 01:54 PM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Yep, oil and gold are dropping, the dollar is rising, and a good many foreign economies are belatedly catching the malaise that we might just be shaking off.

So you might be jumping from the frying pan thats starting to cool and right into the fire...
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 08-16-2008, 02:14 PM   #7
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2003
Location: Kansas City
Posts: 7,408
Quote:
Originally Posted by unclemick View Post
I did all that bull crap in the 70's and 80's - it was expensive and painful.
Except one - I remember with fondness:

heh heh heh heh heh heh heh heh :

Pssst -Wellesley!

heh heh heh -
__________________
unclemick is offline   Reply With Quote
Old 08-16-2008, 06:38 PM   #8
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,414
Quote:
Originally Posted by Hal3 View Post
Remember Ravi Batra, The Great Depression of 1990 (Simon and Schuster, New York, 1985)?

It was a best seller at the time.

It wasn't that bad, was it?

So, is it different this time?
Some of my friends read the above book, cashed out their 401k then, took big tax hits and used what was left to buy gold at $500. Then, 10 years later when gold dropped to the $300, they sold gold to buy stocks!

Note that there was no way back then to roll-out 401k to IRA, then to buy a gold ETF. You got to buy physical gold, meaning Krugerand or Canadian Maple gold pieces, with hard cash.

I read Ravi Batra, got scared too, but did not do any such thing because I was a bit skeptical, and was too busy with my work. Lucky me! I did not miss out on the big bull run of the 90s.

Quote:
Originally Posted by unclemick View Post
I did all that bull crap in the 70's and 80's - it was expensive and painful.

This time it's different?? Your turn. .
Appararently you recoveved very well. My friends did not.
__________________
NW-Bound is online now   Reply With Quote
Old 08-16-2008, 07:05 PM   #9
Thinks s/he gets paid by the post
 
Join Date: Feb 2007
Posts: 1,905
Yes, I wasted the whole startup of the recovery 1982-1987 having purchased nothing but gold and silver back in 1980 waiting for the world to end. I finally decided to buy mutual funds in January of 1987 - Just in time for the 87 crash. I was so scared that I did nothing and then noticed at the end of 87 that that my mutual funds were actually OK (Yes including pssst Wellesley) as if the crash had not happened. Gold and silver however were still in the toilet and remained there for another 15 years. Its barely back now to what I bough it for 28 years ago. Hell of an investment! And people say gold is an inflation hedge -ya right!
__________________
ejman is online now   Reply With Quote
Old 08-16-2008, 07:53 PM   #10
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Sure is working great right now. Inflation is spiraling upwards while gold is dropping like a rock.
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 08-16-2008, 08:19 PM   #11
Full time employment: Posting here.
UncleHoney's Avatar
 
Join Date: Aug 2006
Location: Columbus
Posts: 769
Has there ever been a time in recent history where precious metals had a portfolio value other than speculation?

Seems to me the run to gold is always followed by the run from gold with the appropriate losses for the slow learners.
__________________
100% retired and working hard at it.
UncleHoney is offline   Reply With Quote
Old 08-16-2008, 08:22 PM   #12
Thinks s/he gets paid by the post
 
Join Date: Dec 2007
Posts: 4,764
I haven't seen many of those buy gold ads lately. You know the one..THE DOLLAR IS GOING LOWER BUY GOLD SAVE YOUR SOUL!!
__________________
Notmuchlonger is offline   Reply With Quote
Old 08-16-2008, 08:43 PM   #13
Full time employment: Posting here.
UncleHoney's Avatar
 
Join Date: Aug 2006
Location: Columbus
Posts: 769
I remember back in the 70's when gold started to climb above $35/oz. I thought I had to have some but couldn't find any locally so I forgot about it. Every time the price shoots up I get a chuckle thinking about it.

I do have some gold coins from the late 1800's that were with some coins my dad had. Neat to look at but if I sold them then I wouldn't have any gold coins.

Speaking of coins, anyone need proof sets? I got plenty. My dad collected proof sets for a hobby. Most are worth about what he paid for them.
__________________
100% retired and working hard at it.
UncleHoney is offline   Reply With Quote
But ... this time is different?
Old 08-18-2008, 07:01 AM   #14
Recycles dryer sheets
 
Join Date: Jun 2008
Posts: 184
But ... this time is different?

It looks like someone is making a run on the banks.

This is federal reserve data:

Image:Net Reserves 1990 2008.png - Wikipedia, the free encyclopedia


What's up?
__________________
Hal3 is offline   Reply With Quote
Old 08-18-2008, 09:51 AM   #15
Recycles dryer sheets
 
Join Date: Nov 2003
Location: Charlotte
Posts: 360
Quote:
Originally Posted by unclemick View Post
Except one - I remember with fondness:

heh heh heh heh heh heh heh heh :

Pssst -Wellesley!

heh heh heh -
Pssst - unclemick, how come you're not back in Wellesley with part of your Target money?
__________________

__________________
WilliamG is offline   Reply With Quote
Reply

Tags
bernanke, depression, federal reserve, gold, inflation


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
"Funny" Boat Discussion with DW......... FinanceDude Other topics 38 04-09-2008 07:11 PM
Discussion board training: "Election Year Survival 101" Nords Other topics 2 02-15-2008 01:27 PM
Book report: Lowenstein's "Origins of the Crash" Nords Other topics 1 03-06-2006 02:12 AM

 

 
All times are GMT -6. The time now is 09:05 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.