How to be Wealthy in Reality and “Poor on Paper”

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Visit the http://equity4profit.com/taxfree/ to learn how to implement this tax free strategy or watch our new online seminar on how you can use low cost life insurance policies to create unlimited amounts of tax free income:

Video – How to create unlimitied amounts of tax free income

How to profit from computerized market manipulation

As you saw from my last blog – computers trading with one another accounts for half the volume of market. For the most part, nothing “real” is being traded and this creates the incredible volatility we see every other day.

That’s ok because we can use this to our advantage and create a fortune in retirement income.  Over the last 12-18 months many of my clients have seen permanent gains in the 20% to 50% range because of a built in strategy that allows you to capture market rebounds while the funds are guaranteed against market losses.

This is achieved by a special feature called “Annual Reset”.  Here’s how it works:

Example – You start with $100,000 in 2008.  The Dow is at 10,000.

From 2008 to 2009 the Dow drops 40% to 6,000.  You still have $100,000.
 

Now from 2009 to 2010 the Dow shoots back up 40% to 8400. You net $138,000. (Insurance company takes 2% of the gain.)

While most people are still trying to get back to even, you pocketed a big gain. This gain is permanent and cannot be lost in future years due to market downturns.

It is important to do this as soon as possible. If the market was bad for you over the last 10 years, just wait until the next 10 years. Protection is common sense.

Computers have your retirement dollars at risk

If you have sat down with a financial planner in Phoenix or anywhere in Arizona, the financial planner has proabaly told you about all the sophisticated computer modeling they use that is supposed to make you lots of money.  As it turns out, all the computerized financial planning strategies may make you much worse off.  If you have money in the market this could be the most alarming article you will read this year.  Please take a few minutes to read this article and share it with those you care about.  This could help you make a decision on protecting your life savings or the savings of someone close to you.

 The article is titled “Computerized stock trading leaves investors vulnerable”.  As you’ll see “vulnerable” is an understatement. Here is the full article as well as some highlights below:

http://www.azcentral.com/business/articles/2010/07/09/20100709computerized-stock-trading-leaves-investors-vulnerable.html

Highlights: 

  • The day the Dow Jones industrials plunged nearly 1,000 points and then recovered in Wall Street’s most volatile half-hour ever, more than 19 billion transactions moved according to regulators.
  • The time it takes to read this sentence is all it takes for nearly 2 million stock trades to flash through the stock market.
  • Trades are coming from an army of computers programmed to obey complicated algorithms that are hyperactively buying and selling.
  • These machines see stocks not as securities used by companies to raise money, but rather, symbols, numbers and bits that are traded, swapped and exchanged. 
  • More than half of the market’s volume is churned by computers programmed to spot certain patterns in trading. 
  • And now, traders say, humans are responding to machines rather than the other way around. 
  • More and more the machines are reacting to each other, trying to second-guess what their next moves might be on how to take advantage of an edge that might be gone in milliseconds. 
  • “There are no real buyers or sellers,” says Joe Saluzzi, trader at Themis Trading. ”
    It’s all about the machines.” 
  •   Perhaps most troubling is how computers are giving sophisticated investors with the best digital access to the markets a leg up over regular investors in ways modernization was supposed to do away with. Meanwhile, technological advances are making it nearly impossible for regulators, who play a critical role in maintaining a fair market, to monitor the system that by its very nature has no paper trail and buries transactions in mountains of data.

After you read this, you’ll see why it is so important to have your money guaranteed against market losses.  I can set this up for you. Call me directly at 480-970-5663.

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