In Africa, trapping a monkey has been done the same way for a millennium. The trapper relies on the monkey’s greed and its inability to let go of what it thinks is already in its possession. Does that tendency ring human?
So, how do you trap a monkey? First, the trapper makes sure the monkey is watching him. Then, the trapper takes out some acorns and displays them to the monkey. Now, the trapper will dig a hole in hard ground just big enough to put the acorns in and big enough for the monkey to slide its empty hand in. When the trapper is happy with the hole he dug, he slowly walks away and hides so the monkey cannot see him. Now, the monkey rushes to the hole, sticks its hand in, and grabs the acorns. When it wraps its fist around the acorns, the hole is too small for the fist to fit through unless the monkey chooses to release the acorns. The trapper gets up from his hideaway and slowly walks to the monkey, but—although the monkey sees him and understands that he represents mortal danger—all the monkey does is scream frantically. It will not let go of the acorns until it is caught. The monkey’s greed gets it at the end.
In our current market, stock investors are the monkey, and the financial elite is the trapper. The stock market is in bubble territory, inflated by printed money and interest rates at low levels not seen since 1929—right before the collapse that led to the Great Depression. Monkey investors are lured in by the fact that the market is on the rise, always on the rise. They don’t know why. They don’t care. They only care that it’s going up, and up is good. Up will always continue to go up. At the same time, the financial-elite trappers are ensuring policies are in place that prevent monkey investors from protecting their money and getting it out once the crisis hits and the panic starts.
We can view the stock market bubble as an enormous trap that, when the crisis hits, lets the Fed use your money to prop up the markets and failing banks.
This may sound overly dramatic but consider this: Bail-ins are now legal in the US. A bail-in is when your bank is allowed to use your deposits to rescue itself when it’s failing. In return, you receive shares in the failing bank. H.R. 4176—the Dodd-Frank regulations—made this legal, and it will be the preferred tool the next time a financial institution is collapsing.
But it gets worse: as of 2016, many money market funds can prevent you from withdrawing & protecting your money. Remember, these funds are supposed to be as safe as sitting on cash.
The signs are already here. Gold Alliance, our company, deals with IRA custodians on behalf of our clients all day long, and we see that, across the board, IRA custodians delay transfers or try to aggressively discourage their clients from pulling out funds. These are clients, whose only fault was trying to take out a portion of their stock market IRA to diversify their retirement accounts with precious metals.
And this is happening now! When the financial industry is thriving! Can you imagine what will happen to you when you want to take your money out while everyone else is trying to do the same? When the financial industry replaces savings with falling shares and clamps down on transfers, anyone whose hands are holding the imaginary stock market acorns will be screaming frantically—like the trapped monkey—at their smiling financial-elite trapper.
But I am not worried. For the last 15 years, I have been helping my clients protect their money and avoid the trap by diversifying into physical gold and silver. When the stock market or the dollar crashes, gold and silver values skyrocket. When you own physical gold and silver, you can always cash out. Nobody but you controls your money.
If you want to protect your money from the stock market bubble trap, schedule a free consultation with me, and I’ll walk you through how it’s done. You can also learn more about investing with Gold Alliance.
About Kevin Troy
Kevin has spent over 16 years in the financial industry, focused primarily on precious metals as investment assets. He has published many articles on buying and selling precious metals along with the best entry and exit strategies for various financial assets. He has helped thousands of clients protect, preserve, and safeguard their investments with precious metals and has been with Gold Alliance for more than two years as a leading Sr. Portfolio Manager, overseeing a large portion of our clients’ portfolios.