In Plus episode 484, we answer a member's question on whether it is better to invest in larger ETFs and with larger ETF families. We also review quantitative easing and quantitative tightening. We look at how the per capita increase in the money supply due to QE led to a big jump in inflation and asset prices, including for houses and stocks. We also look at the per capita increase in the national debt. … [Read more...]
462: Now Should You Buy a Bitcoin ETF?
We explore reasons for buying Bitcoin using one of the new Bitcoin ETFs. We also consider the risks. Topics covered include: Why the SEC finally decided to approve spot Bitcoin ETFs What are the fees and structure of these new Bitcoin ETFs How Bitcoin is similar and different from the fiat money system Where Bitcoin fits in an investment portfolio Show Notes Statement on the Approval of Spot Bitcoin Exchange-Traded Products by Chair Gary Gensler—SEC Coinbase … [Read more...]
431: The Long-term Bullish Case for Gold
Why you should allocate a small percentage of your assets to gold. Topics covered include: What is money, and how does gold fit with that definition Why central banks bought more gold last year than at any time since 1967 Which central banks own the most gold and which are increasing their gold holdings How fast is the gold supply growing compared to the U.S. dollar money supply How financialization, greater leverage, and contagion risk should motivate us to consider … [Read more...]
404 Plus: More on Bonds, Interest Rates, Monetary Velocity, and Inflation
In Plus Episode 404, we discuss paying down a mortgage early now that interest rates are higher. We answer a member's questions on how to invest college savings to be used in seven years or less. We revisit selling intermediate-term bond funds and ETFs. We revisit David's decision to buy and sell PFIX. Finally, we look at what monetary velocity is, why it is increasing and does that suggest inflation will stay high for longer. … [Read more...]
355: Which Money Is Crazier: The U.S. Dollar or Bitcoin?
We compare the U.S. Dollar with Bitcoin on their key attributes to determine which is better for transactions and preserving wealth, which is most absurd and which has serious flaws. Topics covered include: How are new U.S. Dollars and Bitcoin createdHow much has the supply of each currency grownHow both the dollar and Bitcoin have had rule changesWhy Bitcoin transactions are faster than non-cash U.S. dollar transactionsWhy both the dollar and Bitcoin require add-on layers to … [Read more...]
342: Is Another Great Inflation Coming?
How today's inflationary environment is similar and different from the great inflation of the 1970s. What are the best assets to protect your portfolio if the next great inflation is here. Topics covered include: How is inflation measured and why the pandemic made calculating inflation difficult What causes inflation Why is inflation increasing currently What caused the great inflation of the 1970s Which assets are best to own to protect against inflation Show … [Read more...]
336 Plus: A Simple Money Supply, Money Creation Analogy
In Plus Episode 336 for the week of March 27, 2021, we discuss some new site additions for Plus members. We also explore an analogy to explain under what circumstances the money supply and purchasing power increase and under what circumstances they don't. We use the analogy to explain what is happening currently and under what circumstances it could lead to higher inflation. Finally, we review why Hoisington Investment Management Company believes inflation will stay low and interest … [Read more...]
336: Own What Is Real
There has never been this much money in the world. Now is the time to own real property. Topics covered include: How to buy something with Bitcoin How cryptocurrencies are similar and different from fiat currencies What is legal tender Why there has never been this much money in the world Why central banks can control interest rates but not inflation What real property should investors own Show Notes The Power of Gold: The History of an Obsession by Peter … [Read more...]
333 Plus: March 2021 Investment Conditions, Bonds and Rising Rates, and Monitoring the Money Supply
In Plus Episode 333 for the week of March 6, 2021, we analyze market returns, asset class valuations, and market internals. We consider why value stocks are outperforming growth stocks year-to-date. We also look at the potential impact of rising interest rates on the economy. We revisit the decision to increase the adaptive model portfolios' duration and yield back in August 2020. Finally, we look at what contributed to the large increase in the money supply in the past year and … [Read more...]
Is A Dollar Collapse Coming?
Will stagflation cause the dollar to crash and be a bottomless pit when the next recession hits? That is what Peter Schiff is predicting. We look at where he is right and where he seems to be off the mark when it comes to the U.S. economy and a dollar collapse. In this episode you’ll learn: Is an economic recession overdue? Why running ongoing trade deficits leads to higher private sector debt balances. Why interest rates and savings is not too low. Why the U.S. … [Read more...]
