The coronavirus has now entered over seven states. The death toll is minimal, though. The world went into this weekend thinking that on Monday the sky would fall. Instead, it realized that the authorities have done their homework in North America, that the Chinese factories are back to work, that businesses are re-opening in many regions of Asia and that global forces are stronger than perceived.

This, again, can be totally wrong; it’s only the current THEORY that drives sentiment. We might see more news later this week that turns the markets on their head again.

The fact remains, though, that China is already bouncing back. This gives confidence and inspiration to all other regions that Covid-19 will not take humanity down with it.

Seriously, last week, when I was buying select stocks in the dip, my broker implored me not to. The majority of my limit orders did not fill; stocks are still expensive, but with continued buybacks and with few sellers (where else would you park your proceeds?), Wealth Research Group sees more gains this year and this decade.

Because of 2008’s flashback, the instinctive reaction of investors is to SELL. Market participants went from having a big smile on their faces to an attitude of desperation in days!

Check this out:

Courtesy: Zerohedge.com

When you saw gold and silver getting thrown off a building last week – when the price went down like it was poisoned – it was because we had reached the December ‘18 mentality of end of the world.

Back then, the Plunge Protection Team, President Trump, Treasury Secretary Mnuchin, Jerome Powell and any other bigwig, were advocating remaining LONG.

Just like in December 2018, investors have shifted this week from being extremely overweight in equities to very underweight.

This is the chief reason that the 10yr bond, the BAROMETER for the rest of the asset universe, is now generating ONLY a 1.06% yield.

There is simply TOO MUCH money in the financial system and it chases any safety it can possibly find. This is unethical, risky, ineffective and will only bring drama of epic proportions in both the near and distant future.

I can’t speak highly enough of owning rental properties or investing through crowdfunding REITs for cash flow. Each of us needs to have steady income, which is tied to renters of all kinds (residential, commercial and specialized), when these shakeouts test the nerves and doubt creeps in.

Courtesy: Zerohedge.com

In a globalized world, where money travels at the speed of light, where ideas traverse the globe in minutes, where technology elevates billions out of poverty, and where human beings can fly from Los Angeles to London in twelve hours, we are prone to disease.

Superior nutritional regiments are AVAILABLE to us all and we should stick to the best foods we can find. Health is more important than ever, since longevity is allowing millions to live great lives after retirement.

Investing now and letting the gains compound for two or three decades virtually ensures that you’ll have a beautiful nest egg, when you need it most. Postpone spending. Build your ark.

Fewer than 7% of Americans work in occupations that pay a six-figure salary. The solution is to have this SECONDARY engine of passive income, growing alongside your main one (your career).

Courtesy: Zerohedge.com

We do not live in a NORMALIZED world any longer. The market cap/GDP ratio, which is at an all-time high, is NOT as expensive as it was in the late 1990s. Back then, you could have earned 4%-5% safe returns in bonds. Today, when your options for yield are limited, I expect stocks to be more valuable.

Stocks are not in a bubble; bonds are. The bond bubble is so ugly that it makes stocks look inflated.

This past week, I came up with several new goals for this newsletter and we’ll be releasing new reports on blockchain technology, Artificial Intelligence and a number of important trends, as the year progresses.

Keep stacking assets; built your MOAT!

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