The Honest Truth About Why A Cash Ban is Coming… Pt 2

Yesterday we outlined that Central Banks’ War on Cash is about to go into Hyperdrive.

Today we’re discussing just the policies Central Banks are already working to implement to eviscerate savings.

Globally, over 50% of Government bonds currently yield 1% or less. These are bonds that are negative in real terms meaning they are trailing well below the rate of inflation.

Even more astounding is the fact that over $7 trillion in debt currently have negative yields in nominal terms, meaning the bond literally has a negative yield when it trades.

This means that when an investor buys these bonds, he or she pays the Government for the right to own. There is NO rate of return; by buying these bonds you are literally incinerating your capital. Large bond funds that are required to own certain types of bonds have no choice but to lose money.

However, this is just the start.

———————————————————————————

The Single Best Options Trading Service on the Planet

Our options service THE CRISIS TRADER is absolutely KILLING it.

We have a success rate of 72% meaning we make money on more than seven out of 10 trades.

Even if you include ALL of our losers, we finished 2015 UP 35%

Over the same time period, the S&P 500 was DOWN.

This continues this year. Already we’ve closed out FIVE double digit winners in 2016. Including a 43% gain closed within 24 hours of us opening it!

Our next trade goes out this morning… you can get it and THREE others for just 99 cents.

To take out a $0.99, 30 day trial subscription to THE CRISIS TRADER...

CLICK HERE NOW!!!

———————————————————————————

Back in 1999, the Fed published a paper suggesting the implementation of a “carry tax” or taxing actual physical cash using an expiration date if depositors aren’t willing to spend the money.

The paper, written 16 years ago, suggested that if the Fed were to find that zero interest rates didn’t induce economic growth, it could try one of three things:

1)   Buy assets (QE)

2)   Money transfers (literally HAND OUT money through various vehicles)

3)   A carry tax (meaning tax the value of actual physical cash that is taken out of the system)

We’ve already seen six years of ZIRP and $3 trillion in QE. Next up are outright money transfers and a carry tax on physical cash.

What is a “carry tax”?

The idea here is that since it costs relatively little to store physical cash (the cost of buying a safe), the Fed should be permitted to “tax” physical cash to force cash holders to spend it (put it back into the banking system) or invest it.

The way this would work is that the cash would have some kind of magnetic strip that would record the date that it was withdrawn. Whenever the bill was finally deposited in a bank again, the receiving bank would use this data to deduct a certain percentage of the bill’s value as a “tax” for holding it.

For instance, if the rate was 5% per month and you took out a $100 bill for two months and then deposited it, the receiving bank would only register the bill as being worth $90.25 ($100* 0.95=$95 or the first month, and then $95 *0.95= $90.25 for the second month).

It sounds like absolute insanity, but I can assure you that Central Banks take these sorts of proposals very seriously.  QE sounded completely insane back in 1999 and we’ve already seen three rounds of it amounting to over $3 trillion.

No one would have believed the Fed could get away with printing $3 trillion for QE in 1999, but it has happened already. And given that it has failed to boost consumer spending/ economic growth, I wouldn’t at all surprised to see the Fed float one of the other ideas in the coming months.

The time to take action is now!

If you’re an investor who wants to increase your wealth dramatically, then you NEED to take out a trial subscription to our paid premium investment newsletter Private Wealth Advisory.

Private Wealth Advisory is a WEEKLY investment newsletter with an incredible track record.

Yesterday we closed out THREE more double digit winners (all of them opened just two weeks ago) bringing our current winning streak to 74 straight winning trades,

And throughout the last 14 months, we’ve not closed a SINGLE loser.

With a track record like this, we’re getting a LOT of attention, so we’re going to be raising the price of a Private Wealth Advisory in the next few weeks.

However, you can try it right now for 30 days for just 98 cents… but you better move fast, because these slots are selling out!!!

To lock in a $0.98, 30-day trial subscription to Private Wealth Advisory

CLICK HERE NOW!

Best Regards

Graham Summers

Phoenix Capital Research

Disclaimer: The information contained on this website is for marketing purposes only. Nothing contained in this website is intended to be, nor shall it be construed as, investment advice by Phoenix Capital Research or any of its affiliates, nor is it to be relied upon in making any investment or other decision. Neither the information nor any opinion expressed on this website constitutes and offer to buy or sell any security or instrument or participate in any particular trading strategy. The information in the newsletter is not a complete description of the securities, markets or developments discussed. Information and opinions regarding individual securities do not mean that a security is recommended or suitable for a particular investor. Prior to making any investment decision, you are advised to consult with your broker, investment advisor or other appropriate tax or financial professional to determine the suitability of any investment. 

Opinions and estimates expressed on this website constitute Phoenix Capital Research's judgment as of the date appearing on the opinion or estimate and are subject to change without notice. This information may not reflect events occurring after the date or time of publication. Phoenix Capital Research is not obligated to continue to offer information or opinions regarding any security, instrument or service. 

Information has been obtained from sources considered reliable, but its accuracy and completeness are not guaranteed. Phoenix Capital Research and its officers, directors, employees, agents and/or affiliates may have executed, or may in the future execute, transactions in any of the securities or derivatives of any securities discussed on this email. 

Past performance is not necessarily a guide to future performance and is no guarantee of future results. Securities products are not FDIC insured, are not guaranteed by any bank and involve investment risk, including possible loss of entire value. Phoenix Capital Research, OmniSans Publishing LLC and Graham Summers shall not be responsible or have any liability for investment decisions based upon, or the results obtained from, the information provided. 

Phoenix Capital Research is not responsible for the content of other websites or emails to which this one may be linked and reserves the right to remove such links. OmniSans Publishing LLC and the Phoenix Capital Research Logo are registered trademarks of Phoenix Capital Research. Phoenix Capital Management, Inc.
What Happens When the Everything Bubble Bursts?
  • By trying to corner the bond market (risk-free rate)
  • the Fed has created a bubble in everything
  • We call this THE EVERYTHING BUBBLE
  • Reserve your copy of our Executive Summary
  • To prepare for what's coming down the pike!