“Jiska Mujhe Tha Intezaar, Wo Gadi Aa Gayi, Aa Gayi.” Are you prepared for MARKET Move?

 

6^th September 2020

“Jiska Mujhe Tha Intezaar, Wo Gadi Aa Gayi, Aa Gayi.” Are you prepared for MARKET Move?

Dear Fellow Travelers,

Namaste! Last week was dedicated to learning advance and correct investment learning. Our post on Long Term investments was most appreciated for the clarity and facts it shared with all. Many readers confessed that they had never looked at the Long Term with this kind of clarity. Now we are taking you back to the MARKET.

Let us look at the market from the 9/11 event till now.

Liquidity, Liquidity and only Liquidity: -

With 9/11 events USA Fed started with an easy monetary policy. Or should I say – to follow easy monetary policies – 9/11 was allowed to happen? Whichever way you look at it – the facts are the USA pushed the liquidity in the market like never before. It I look at the Money Supply – M3 statistics – it was around USD 5000 Billion in 2002. Now it is USD 18500 billion. The money supply has moved up by 3.7 times.

US government Debt which was USD 5000 Billion is now USD 26000 Billion. It means Debt has gone up by 5 times.  

Add the above two and you have inflation due to money supply by 8.7 times.

Let us see Gold prices. It was around USD 270 in 2001. Now Usd 1950. Gold has moved up by 7.2 times. It means Gold should touch USD 2200 just to make up for the money supply!!

In India Gold has moved up from Rs.5000 for 10 Grams to Rs.57000 per 10 Grams in the last month. More than 11 times increase.

Dow Index was 8000 in September 2001. It is now 28000. Close to 3.5 times. Sensex was around 2500. It made 42000 in early 2020. It means Sensex has moved up 16 times.

In Vile Parle West normal 2 BHK was available at Rs.30 lakhs in 2001. Today the same flat is available at Rs.3.5 Crs. More than 10 times increase. Depending on the location property prices have moved up by 5 times to 15 times.

Why these data worry me for Masses?

If you have not invested smartly – your money would have lost the value, irrespective of the absolute increase in the volume. Say your savings have gone up from Rs.1 lakh to Rs.5 lakh. You were able to buy 200 grams of gold in 2001. Now you are able to buy a little less than 100 grams.

Same goes for Shares or Property or other asset classes. You can’t buy them with your increased money.

Retired persons are in soup due to the increase in Inflation and educed interest rates over a period of time.

What is the GAME at the TOP?

All countries are connected and all banks follow the relatively same monetary policies nowadays. Recently, all countries have done locked-down simultaneously and killed the economies worldwide to infuse more and more money in the system.

Did you see GOLD prices have moved up / shares have moved up and other assets have also moved up in various proportions in locked-down period? Most logical thinking guys are baffled with this behaviour.

How TOP guys can loot masses without a Gun?

Most of the countries respect individual independence and human rights. So, they can’t loot you outright with a gun or kill you and take your money, the way normal robbers do. They do it more sophisticatedly.

Increased money supply: - we have seen what happened to various asset prices due to money supply alone in the above example. This is the best way to loot you without your knowledge.

Note Bandi: - India has seen that in the recent past. This is a CRUDE way to kill the Masses. Many guys have suffered like anything due to this step in 2016 end.

Taxation: - In India, we are paying close to 60% taxes – direct and indirect put together. Taxes are collected for the benefits of the country people. Look at the ROAD conditions for example and see how our hard-earned money is used. If they repair every year – it means our money is not getting accumulated.

Locked-down: - This was the first in the last 70 years. Small and Medium business people have suffered the most in this locked-down. Very poor got benefits. Very rich found out ways to run their shows. The middle class got badly affected. In the USA, they transferred money to citizens to boost the economy. Now, most guys become happy with FREE money. Very few understand that - this FREE money is your future income given to you NOW. It means your retirement or your KIDS will have difficult times ahead.

Impractical Rules: - They can suck you with NONSENSE rules also. SEBI has come out with a new margin system and that system is against the small traders and small brokerage houses. They want them to PERISH.

In locked down – online sellers could sell their products but shop owners could not. Only big guys made money at this time.

There are N number of other ways in which they are taking us for a ride. Like allowing small banks to die and supporting big banks. Those who kept money in small banks got wiped out overnight. These will go on irrespective of the leader at the top.

What MOMENT I was waiting for?

If you impassively look at all the events in the past 20 years – it is pointing towards NEW ECONOMIC SYSTEM / NEW CURRENCY SYSTEM. On 26^th March, we wrote our most bold prediction about the coming 20 years - World over Currency and Financial system are slated to change thanks to 3 Major Cycles in 2020-2021. Copy-paste this link in your browser and read.

https://bestofhiteshparikh.blogspot.com/2020/03/world-over-currency-and-financial.html

I see major changes coming FAST this time. Now SLOW and GRADUAL.

We are the moment of TRANSFORMATION. Let me share the beautiful song of the movie DON.

This is a moment in which you can kill the system or you will get killed in the process.

To survive this moment – you will need advanced skill sets and thought processes. We are empowering our clients with the right kind of investing so that they can pull through this period without losses.

What NOW?

There is a saying “Destiny Favours the Prepared”. So, get prepared before some new rules are imposed with the most dangerous address – “Mitro”

Decision decides the Destiny. By not reading our post or not taking action after reading our post – you are deciding your DESTINY.

Make your own call.

Follow me on Twitter @hiteshmparikh /  WhatsApp - +91-9869425399.

 

Live With Passion…Invest With Passion.

 

Hitesh Parikh.