Topic: Implications of a Hillary Presidency: Non-Traditional & Hard Assets? - page 2. (Read 1149 times)

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OK, my best *guess* is that not even Hillary would ban gold, and since I am very much a PGA (Physical Gold Advocate), I'll briefly discuss that.  (I'll get to other non-traditional and hard assets in the near future.)

Gold is no longer "money" (as in 1933) in one important sense: it does not circulate as money (gold coins).  The USA claims NO backing of the US$ with gold, and in fact is somewhat anti-gold.  And, in the USA, only some 1% (!) actually OWN any non-jewelry gold. 

Therefore, there is no imperative that I see where Hillary would try to confiscate it (house to-house for example).  She may try to tax it (say a 80% Capital Gains Tax -- which is already punitive in the case of gold -- gold profits are taxed (at a higher rate) as "collectibles").  It must be noted as well that gold owners are almost 100% correlated with gun owners...  So a direct seizure of gold is unlikely IMO.

Gold will protect (maintain its value) better -- given time -- than almost any other investment.  Gold is portable (except getting large amounts onto the plane quietly, I still haven't figured out to do that).  There is always "someone around" who will accept your gold in payment.  Gold will protect to a great degree, its value in a DEFLATION and HYPERINFLATION.

Silver and platinum share to a degree the above investment properties of gold.

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Other investments, some lively ideas coming soon... 

But that can be said about any POTUS since John Kennedy


I agree that banning Bitcoin is very unlikely because its influence so far has been almost negligible on the banking sector or economy at large. But gold is a decidedly different story. Could Hillary try to ban physical gold if things start to get out of hand completely? Not that they are good right now, but going from bad to worse shouldn't be discounted either.

Hillary is a puppet of establishment. She will do anything to maintain current status quo both economically and politically.

I doubt that she (or Trump) will ban bitcoin, definitely not now - when it is still rather insignificant compared to standard assets.

But in the end she will do whatever she is asked to do by banking lobbyists.

It is more interesting to estimate who could potentially outright ban the possession of those "quiet assets" which are hard to steal otherwise. So who is more likely to become the next Franklin Roosevelt, Clinton or Trump? My bet is on Hillary, somehow I wouldn't get surprised at all if she banned Bitcoin without much ado. But banning Bitcoin is not a far cry from banning gold soon thereafter. Hillary is a real deal in this regard, unlike Trump who is all piss and wind.

If Hillary becomes president, you can expect more of the same dovish Fed-policy. Quantitative easing will be maintained and eventually expanded. At the same time individual taxation and regulation will also grow. Hillary will be making love with bankers instead of sending them before courts. There will be no deviation from the fiat money regime.

What will be the results? It's pretty clear: More inflation of fiat money. Therefore, if you have any savings you should definitely look for safe havens. Hard assets like precious metals are definitely a good choice. Real estate is too risky in my view (unless you buy your own place to live in and don't need a loan), because it is registered and can be taxed easily. Stocks of quality companies might be also worth considering. But there is one investment that starts with a 'B' you should not forget about... 

ya.ya.yo!

Would it be a positive for emerging market assets?
Given Bitcoin's transferability, it should benefit from any demand for offshore assets.

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The audio of Trump's lewd locker-room comments is likely to bury Trump IMO.  Yes, Hillary has done worse (defending the rapist of the 12-year old, bullying of sexual assault victims by Bill, etc.), but the purpose of this thread to explore what we can do in a Hillary presidency.

My early thinking is that quiet (and hard to steal) assets that retain their value through time are a clear winner.

Bitcoin and gold come to mind.

What else?  Pluses and minuses discussion of assets for defense in a hostile investment climate are most welcome.....