i have been using the 70s as my roadmap, soon , later in the summer, commodities will enter center stage, and food prices will go up. a year more or less diamonds will become a thing to own. through it all its going to be real money gold and silver. the key is you want to keep it simple. no debt, no leverage. and play it in a way you are comfortable. folks have lived through all kinds of stuff , we will live through this. just dont shoot yourself in the foot
just checked if there is a diamond etf, and it showed me DIA, which is precisely the 'diamond' not to own, lol! actually i have no debt except for children to marry and still to look after a bit longer. for the past twenty yrs i always bot house and cars with cash, no mortgage or loans, i paid off children's college loans, so i am not in a bad shape. want to retire next few years and move to an asian country where i can enjoy daily lives better with a good healthcare. but i worry USD will become weak relative to other currencies and coupled with global stagflation/inflation, i am thinking we may need to live golden years a bit frugally. right now am thinking to buy a residence there in a couple of years when the deflation takes place after Covid19, and then do the best to diversify the funds with global funds, US funds and inflation linked bonds in my 401k. i have some tax sheltered retirement fund only in precious metal funds, while only gold/silver etfs in roth iras. i guess Ray Dalio's secret in success is diversifying into unrelated asset classes (correlation as close to zero as possible) and into multiple competing countries. i have his portfolio at bridgewater but not sure if it may need be different after Covid19. in one of his interviews he said two areas that will be successful: basic necessities and the inventive companies. So food prices will certainly be part of it. Will commodities rise soon, or will it first tank in deflationary environment before taking off? [The money velocity chart vs. cpi indicates deflation in a few quarters.]
Edited by ryanoo, 30 June 2020 - 02:54 PM.