Thursday, October 2, 2008

What are possible safe havens for individual wealth?

Again, this is a last resort option and we are assuming that the financial world as we know it has changed dramatically. It will be a cash or barter system until credit facilities can be restarted albeit more conservatively than we have seen in the last 15 years. I would think various hard assets that you can physically lay your hands on would be a significant part of the mix. And, assuming stocks have been thoroughly devalued to their hard asset value and the companies no longer owe monies for previous debt obligations, they might be a suitable proxy for owning the hard assets directly. And of course, some amount of cash or coinage in the hands of us, the general public, would help restart merchant related buying and selling.

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