Topic: Financial Crisis and Safe Havens (Read 876 times)

Nothing is safe and nothing is totally risky. A good approach is to use the mind and take responsible measures to get good results in trade
or whatever the financial thing one is involved.

investing and trading on your own is the best option in my opinion ,, because from there you can start reading the market and will begin to understand the price movement rather than rely on others .. kija find a little confusion you can ask the people who understand .. because all the disina Your confusion can be answered quickly ..

Before I say anything I'd like to point out that you're in college so you've got time on your side. . . which is to say if you blow it up you have plenty of time to make it back.   Also, kudos on having 500-1k per month to invest.  Most college kids I meet can't even afford a burrito at the end of the month.

Onto your questions:

Before I start, this is not investment advice and should not be construed as such.  Any purchases you make are on you as are any profits or losses.  

Gold is a good asset but you have to be careful purchasing it.  Physical metals are unregulated and often sell for ridiculous premiums (read 50%+).  The worst I know is a site that marks up their metals 400% and through some shifty marketing gets away with it.  If you go physica0,l stick to bullion and don't pay more than 3% over spot.  If you're in the US and need help with this let me know.  If you're outside the US just remember,  no more than 3% over spot.  Ever.

Real estate-  yeah, that's a tough one.  Aside from the necessary capital you'll need to know what to look for and where.  I know people in real estate and it's a heckuva learning curve from what I've seen.

Equities- well an old school trader one said to me "The stock market was designed to create wealth and the forex market was designed to take it back"  Obviously I mention this for the first part.  Having the right stocks is essential.   If you know how to pick stocks, cool.  If not, I'd ask for help.

Crypto-  not sure I'd call it a safe haven asset yet, although it has a similar function to gold and is easier to use when transacting business than the barbarous relic. I love crypto, but I still don't recommend anyone put in any amount they don't want to lose.   It's probably the highest risk of everything on your list.  That being said, it's your money so it's your decision.

Regardless of what you do I'd stress test the portfolio. (EDIT: If you need help with this too, I can probably run one for you)

Let me know if I can be of further assistance.  

There is no general strategy especially in the business of investment. Your safe haven investments can be another person's hell fire investments. Apply your own strategy if you have done your mathematical calculations very well. Remember to apply the diversification theory in your decision.
That will reduce your risk level during crisis. Thanks

A foundation is built on strong materials, not on materials that you hope are strong or that are promised to be strong, it is your future that will collapse if it all goes wrong.

Try to have open view with the bitcoin related platforms, you will be able get into any project or business with the related platform. That will take you to heights and you may become millionaire as well.
If you still work in your day job apart from bitcoin related services means invest some fund and purchase bitcoins as much you can. I am sure that value will reached double the value in some months.

I think most people are like that, I remember that when I was young I did not cared about my health and now that I’m a little bit older I care a lot more about the future and the same it is true with money, in my youth I did not cared about where I spent my money but now I have a very strict budget and I adhere to it since I want to have a better life and I think bitcoin is going to be a key to my future.

True but at the same time why we would want that to happen right now, I do not have a lot of bitcoin, I do not want bitcoin to become that big that fast, if instead it took many years then I will have the time to get a lot of bitcoin before that happens and the amount of money that I will get after that happens will be enough to make a millionaire, so if bitcoin needs many years to reach the market cap of gold that is not something that I mind at all.

No one will ever know when the accident occurred, I think he is very confident that can say 8-10 years. But I know that an accident will happen if it really is a world economic crisis. I may think a little too much, but I also do not know when it will happen. Very difficult if only seen from the speculation over what happened.

First i would like to salute you for being financially aware.  It is great that you are thinking of investing because when i was a college student i only think of clubbing and partying. Anyways as you mention real estate is not yet possible so go put it in cryptocurrency. You may also put it in VUF or bonds although the ROI is small the risk is very little.

As long as you are comfortable with your strategy that is fine, it seems you want to get some profits now, especially since bitcoin is really hot at the moment and it is not giving any signs that is going to calm down, and then you can consolidate your profits by changing the percentages between gold and crypto, that is a nice strategy and one that is very common among brokers, when young people invest with them they recommend them to take make a portfolio with a greater risk and then later in life they make surer and surer investments to preserve the capital they have won.

Investing and expecting an instant returns could frustrate one. Six months interval is ok to start expecting profits from the investment and before this time, you are to continue to build the business either by paying salaries or in the case of cryptos - checking on the exchange and its growth. Basically, immediate expectations of profit is usually a wrong way to go. Investing in promising altcoin is good too.

I'm slowly getting in the investment world as well, but from what I've been reading and seeing, I would say that it looks like a good strategy. It's always good to keep your investments diversed in case something goes wrong, so I would spread investment funds on gold (I don't think the other precious metals are really worth it) and crypto. As for crypto, I would keep most of it in bitcoin, maybe 75 to 85%, and put the rest in some alts, because not all alts are bad. There are some solid ones out there, that should live alongside with BTC. I would then just hold all of these and not trade them.
These are precious assets, I don't think you want to be playing around with them, unless you really know what you are doing.

Also I heard we should see bitcoin ETFs very soon. Once it happens, a lot of money will go into crypto, and hopefully all the bubble fear will go away.

Ok, this is tricky.  Do not invest and count on returns anywhere, they are not a guarantee and not even that easy to predict.  I don't know what the deal is there, but you should probably speak with a financial planner.  Make sure that whatever you do, that you have a serious savings plan and not putting it all out there where it can be lost.  

You are contradicting yourself with nonsensical terms. Yes, the market is indeed volatile, but if we look at how much volatility we have gone through throughout the years, does something pop up that catches your attention? Probably not. It's the fact that regardless of how much volatility we have gone through in all previous years, it didn't had a single bit of effect on the market at all. It allows Bitcoin perfectly to be utilized as store of value/wealth (safe haven asset), and if you think that's not the case, you're delusional. It's not for nothing that Bitcoin has been the best performing asset and investment option for years now, and this will stretch out to the forthcoming years as well.

it is just that bitcoin is young! and infant even.
we can not really expect something this young and small to become as big as something like gold which has been around for a very long time, ever since people were still riding horses around!!
it can not yet be a safe haven, but it is a very profitable investment exactly because of that. the volatility only shows the size of the market, the rise shows the adoption and the non stop rise for years shows the adoption doesn't want to stop any time soon.

It is not easy to predict this and especially a price of bitcoin in coming future. It is very hard to say that what will be the price after some amount of time but be can say that bitcoins price will keep on increasing in coming years by looking at bitcoins past as it had a tremendous growth in its price in very less tome and it is still increasing. Investing in bitcoin is the most profitable method from my point of view as bitcoins price is increasing and if you invest now in bitcoin and hold it for a year or two that you will get at least 50% of your invested amount as a profit and it will be very high at that time, many people have already started to buy bitcoin and hold them until its price ins high. It will be more profitable for you than investing in stakes or shares of some company.

Friend, You are really having a good trading approach with a positive attitude, which lacks in many trader. I will tell you my plan and suggestions, hope that it will help you . Right now markets are in trending mode, so try to set your portfolio in this way . 40% Cryptocurrency, 20% precious metals and commodities, 20% Stocks and Etf's , 10% real estate or any other business model and remaining 10% invest in yourself so that you too get updated on knowledge,experienced,skills and attitude basis. This is how i manage my portfolio and my trading experience too.

saying that a financial crisis happens every ten years is a bit... over zealous from your side. It's impossible to know from now whether there will be a crisis in the next year, just by assuming so, because we had two of them in the past. If there's gonna be a crisis it will be due to BTC and the crypto market, which basically messes up your initial strategy. The Dow and S&P are far safer investments than crypto (they are based on real economic output) crypto markets are purely speculative right now. Even though that's the case, considering the minimal amount you can invest, I'd go all in on crypto - even if you go bust, you have a much better chance to make a descent profit by investing in here. Stock might give you a return of 15% a year (at best), that would be a 150$ return for you.. in one year.. which is.. bad. Investing that money in crypto you have a good chance to have a 300-400% return, and the risk of losing everything justifies that return. Gold won't make you a big return either. My suggestions is to invest everything in cryptoland, and once you've made about 100k on this market, then think about diversifying (buying real estate, stocks, gold). Your capital is simply not enough to diversify in these sectors yet (fees will kill you)

You already got all things figured it out, if you think of a very long term investment then precious metal is the best option, however in this current situation I will suggest you to put more in crypto currencies because the trend and the profit now is really good, maybe you can't get this great profit in the next few years because the situation for crypto currencies is not too stable, some country support and some country rejected it, so you need to gained while there is an opportunity