3 Squirrels, 2 Vultures, and 1 Turtle

crashGary ChristensonThree squirrels frolicked in the back yard – they are social and fun loving creatures who delight us with squirrel antics and represent the distracted masses of people.

A hawk (markets can be deadly) killed a squirrel.  Two vultures swooped in to feast on what remained after the hawk ate. The vultures represent High-Frequency-Traders and central banks.  They produce nothing and feast on the efforts of the masses.

One turtle ambled through the yard, moving to a different lake.  He was neither quick nor deadly, like the hawk, nor predatory like the vultures, but persistent.  The turtle progressed slowly and reliably toward his goal – just as gold has been safe and reliable money for 5,000 years.

Perhaps the analogy is less than perfect, but we see parallels.

Most investors will be blindsided in the coming financial reset – as they were in the dot-com bubble and subsequent crash (1999-2000), the real estate bubble and crash (2004-2006), and the financial crash of 2008.  The warning signs were there, but most of us ignored them.  Squirrels are often too busy playing and chasing each other to notice a circling hawk.  Investors are often too busy managing daily lives to appreciate the danger of past stock market bubbles, real estate bubbles, derivative melt-downs, and the current bond and currency bubbles (2015).

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