My savings strategy is what you would call unorthodox. With my primary goals being wealth preservation, emergency preparedness, and building my war chest for the right opportunity, I’m allocating my wealth in a way that helps me hit all of the above. In today’s world, you need to be a contrarian to get rich, and here is how I do it with my savings.
What? Bitcoin? Believe it. I save 25% of my savings in the cryptocurrency as it gives me a wealth preservation and emergency plan in case the dollar goes into the toilet and capital controls become the norm. How are you going to get to your money when the bank holidays begin? Bitcoin gives you a way to preserve value outside of the system, something that is highly advantageous when the system is rigged against you.
Gold & Silver
The next 25% goes into the old reliables, gold & silver, and I store these overseas. Again, with the fiat currency system in it’s death knells you better be prepared for drastic governments around the world. When the dollar dies, the government will become far more rash in their actions to preserve “national security”. That means your paper assets are in danger and keeping your insurance plan in gold in silver on friendly shores can help you sleep at night when Babylon falls.
Yes. This is going to seem counterintuitive given my aforementioned analysis, nonetheless, 50% of my savings goes into King Dollar. Is it destined to fail? Of course, but, it’s still the only name in down when it comes to dry powder and capitalizing on future opportunities. Plus, let’s face it, you need a liquid emergency fund in case your life goes awry and the dollar is the best way to deal with exceptional situations. Granted, I keep my dollars within an insurance policy that will return 4 – 5% annually with 100% liquidity so I’m still protected from the majority of inflation’s impacts.
So there you have it. Hedging for the collapse of the current system while preparing to capitalize on opportunities while mitigating possible emergencies at the same time. Aim for 20% savings of your income and watch your riches grow – anything lower won’t cut it if you’re out to get loaded.