BY DAMON GELLER
The war on your savings & retirement continues. In a stunning move, Charles Schwab has started informing its clients that “at least 80% of the fund’s net assets will be invested solely in U.S. government securities…” and removed from money market funds. In other words, Schwab is the first of many brokerages to cave to alarming government pressure and begin permanently unwinding trillions in money market-funds, rotating them into government debt. Why? Because our insolvent government needs YOU to finance its unsustainable $19 trillion debt. Luckily, there’s still one way to protect your savings & retirement before the entire house of cards crashes down.
Negative Interest Rates Force You to Buy US Treasuries
damon_geller_authorAs widely reported, the Federal Reserve is moving steadily toward negative interest rates, or NIRP. In other words, you pay the banks to hold your hard-earned savings. Negative rates are the Fed’s desperate, last-ditch effort to force American citizens to finance our staggering national debt.
The logic is simple: If we citizens have to pay a hefty fee to keep our savings on deposit – and get no returns – then naturally we’ll want to pull our money out of savings. The goal of the Fed and U.S. Gov’t is to force us all to invest our money where THEY want us to invest: in U.S. Treasuries. Why? Because they know the U.S. will implode under the weight of unsustainable debt if the American people don’t swallow up Treasuries.
The Cash Problem
The first problem with this strategy is, what happens if American citizens realize they are being conned into a toxic investment, and decide to just pull their cash out of the banks and store it themselves? Ah, well the government has a solution to that problem: Ban cash altogether.
As we’ve reported for months, government & banks around the world are taking swift action to abolish the use and storage of cash. The government has started seizing citizen bank accounts with no due process. The IRS has threatened foreign nations and financial institutions across the globe to turn over your private data and financial accounts, with the threat of financial warfare if they don’t comply. And the Department of Justice and local police have started seizing cash from innocent citizens. Yes, the executive branch of government has been aggressively taking citizens’ cash without due process of law.
So in short, your ability to take your savings out of banks and store it in cash is coming to an end. And even if you do take possession of your savings in cash, how secure do you feel when the government comes knocking on your door asking about your stockpile of cash?
Preventing the Riots
So if we citizens have no ability to hold our own cash savings, and storing it in a bank is too expensive, then the government and banks believe they can force us to buy U.S. debt. So the reason brokerages like Schwab are moving your money into Treasuries now is to prevent us from rioting in the near future. Or at least that’s what they hope.
Think about it. If literally trillions of YOUR dollars sitting in money market funds suddenly go negative interest, this will cause you to lose billions in savings & retirement to the banks for the privilege of holding YOUR money. There would be rioting in the streets. So Schwab and others are taking preemptive action now to move your money into U.S. debt.
The returns on Treasuries are paltry, but at least they’re not NEGATIVE. That is, until the entire house of cards comes crashing down, the U.S. defaults on its debts, and the stock market crashes because there’s literally nothing left to keep it artificially propped up. Then you will lose your tail.
Convert Your Savings & Retirement into Gold & Silver
There’s only ONE way to protect your savings & retirement from negative interest rates, the inevitable stock market crash, and the national debt disaster: gold & silver. Gold & silver sit outside the system, are completely private, and cannot be tracked and controlled by the government or banks.
Physical gold & silver have been the world’s greatest wealth protectors for over 5,000 years, shielding citizens from government & banking collapse during the worst crises in history. And physical gold & silver cannot be instantly seized with the stroke of a keyboard. So invest in gold & silver now, before you have nothing left to protect.
(Call (855) 833-1201 to receive your free copy of Damon Geller’s popular book, “Defend Your Money against Gov’t Confiscation” AND your free Gold & Sliver guide)