Armageddon’s Guide to Investing
“He who depends on himself will attain the greatest happiness.”
— Yi Jing (Book of Changes), 2nd Millenium BC
There are groups of individuals who believe in the financial doomsday, i.e the great reset. It is believed that the over deficit of national spending has crossed the debt ceiling debt that it is impossible to pay the debt and the interest back. The interconnectedness of the financial market via global trade will create havoc in every market space. Commodity, Real estate, derivatives, currency, and stocks/bonds. This group trusts sound money and a farmers' life, a self-sustaining lifestyle that is resilient to the fragile infrastructures of modern conveniences.
Now, before diving into the investing pool it is important to understand the generation theory. More on it in the book, “The generation Theory” and “the fourth turning”, by Neil Howe and William Strauss.
Now, on the contrary, we have Technological utopianism. Where people believe in Modern Monetary theory and technological progression. The growing population needs more supply of money and technological advancement is the key to every problem.
The reason I emphasize studying the generation is because it helps us understand the behavior, the behaviour of the market participants.
In terms of the Generation we have,
- Gen Z, iGen, or Centennials: Born 1996–2015
- Millennials or Gen Y: Born 1977–1995
- Generation X: Born 1965–1976
- Baby Boomers: Born 1946–1964
- Traditionalists or Silent Generation: Born 1945 and before
Each generation is comprised of its own social issues, economic state, war, and propagandas.
The silent generation includes people who fought in the Korean War, WWII, and the Great depression. The people were financially prudent, resilient, and with traditional values.
After the end of WWII, the soldiers returned to their country to make families, and boom the birth rate spiked to 3.4 million babies in 1946. In fact, better medical provisions and government handouts allowed baby boomers to live a long life, which has its own price to pay. The social security cost of 1 retired citizen depends on the revenue from 3.3 workers. Along with war, this generation produced the hippie culture.
Every generation has its own characteristics. Their own strength and weaknesses. The idea is to look at the broader picture before listening to Jim Cramer. What is the effect of fed raising interest rate, to treasury bonds, bank leanding, mortage rates, a companies credit line. What is the tax rates and how it effect the gross saving of every citizen.
The recent generation is comfortable buying digital assets,where as the older generation are not convinced of the application. Will blockchain convience the biggest market participant or will need more time to allow newer participants to promote the technology.
I am not here to give you any financial advice or tell you which stock ticket to purchase. Frainkly, I am no better than you on this regard. The idea is to inspire a thought. Do I really know what I am doing? Do I know the different investment vechile and how it works? Just because sam made alot of money, does it gaurantee I will make alot of money? What skill was required by sam to succeed, or was it really a skill or an illusion of control?
Even though, I have not delivered a concrete guide to investing. I hope I left you with enough question to make your own guide.
For those who still want some map, here’s a piece of what I do.
Cut unessential costs, Eliminate consumer debt, save 6 month of living expense, increase payable skillsets, invest in different types of assets, i.e 90% secured Inflation hedged and 10% speculation.
