/biz/ - Business & Finance

>>25345637
At this point in time though taking a loan is scary and carries more risk due to being at the end of the long-term debt cycle.

>>24425408
>I just doubt gold will be what people turn to when that inevitable collapse comes. They'll just reboot the system, US dollar 2.0 or whatever.
Probably, yeah. Gold standard is a pipe dream in my opinion too. But it will probably hold its value fairly well so that we can get a head start when the new system gets implemented. Same goes for other assets, y'all better not go panic selling when the collapse happens!
>>24425469
>ngl impressive you figured that out if you're that new
Thanks man! I started investing in September but I only hold silver (should've got some gold first, now I don't want to buy that because of the large bulk capital needed lol, mistake) and have been averaging into miners while learning about the industry and general financial information + valuation metrics.
>The biggest problem with options is that their pricing models don't (and can't) include issuer credit ratings. At a certain point you have to just accept shortcomings because they you can't get around them. No one knows who their counterparty is with options bought through an exchange. However, even with that, the market value would still go up by many, many multiples in the event of a bond market crash.
Ah yes, I tend to forget that options always have a winner and a loser betting on opposite results. In a big crash derivatives holders probably are the first to get the cold shoulder aren't they. The other side wouldn't necessarily be able to pay up.
>However, even with that, the market value would still go up by many, many multiples in the event of a bond market crash.
I guess it's a bet worth taking if you put a tiny 0.5% amount of your folio to it then
>The "intrinsic value" of my puts would be ~$40 if rates went to 5% within the expiration date. They are currently trading at $0.02.
Whoa, that'd be a huge gain! That's 2,000x!!

That's smart, huh. Normally everything goes up when rates go down but if rates go up you have a plan B. Hats off to you.

>>23815799
> Central banks will begin to issue digital fiat and I truly believe things will only get worse
>The further we get away from PMs the weaker our money has become
I agree with you on that, but you're still retarded if you think that people will return to gold and silver for everyday purchases in the future. We'll ride the fiat train all the way down the cliff, then we'll board another one and the same ride begins again. Just keep your stack close and own physical assets that keep their value. Don't forget to have basic foodstuffs and water too
>>23815859
I agree that physical is where it's at when a currency implosion eventually happens. But when things start getting back on rails and a new currency is issued, people won't be using physical assets anymore. And I agree with your views on cash, it's important to have and I don't think we'll ever move onto fully electronic fiat

>>23793428
A lot of ways out there to earn profits but passively you're a bit limited honestly, and the market isn't favorable for passive income right now imho. Buy an apartment or a few and collect rent (wouldn't buy right now, wait until a crash), own high-dividend shares (also kind of bearish right now unless you can find one that isn't terribly overvalued which isn't impossible but is kind of hard), bonds (currently RETURN FREE RISK and even trash bonds return like 5%, awful passive investment atm), index funds/ETFs (short term and long term might appreciate in value but if you're as bearish on the ABSOLUTE STATE of the economy as me you'll want to stay away from those as well)
Kind of passive income but not really, own assets that keep their value against inflation or even appreciate over time (gold, maybe silver, some select collectibles like quality watches or whiskey bottles, vintage cars, new-ish vans etc commodities and physical assets).

If you really want to make profits you have to manage your assets or work at least a little bit. That's what I believe

>>23587582
It's really just another one of those. We've been here before, it's not the first time that a long term debt cycle is beginning to deleverage. It's not the first time there's been a shift in power between the leading nation and a runner-up. It's not the first time a currency is devalued. You only think this is unprecedented because it's unprecedented to you

>>23180749
Ray Dalio predicted 2008 financial crisis and is already warning people of the coming debt burst. I'm not familiar with Spengler, what has he predicted correctly thus far? Wikipedia says he believes in social cycles, which sounds very similar to Dalio's debt cycles (when a deleveraging happens, difficult times come: war, poverty, etc. this happened last time in the 1930's and lead to WW2)