Investing in the Market for Survival and Prosperity

By MoneyMorning.com.au

Even though Blind Freddy can’t read Money Morning, he knows the world economy is dripping in rotting debt. He can smell the pungent stench pouring off the US and Europe’s balance sheets. He can hear the whirr, click, buzz, zap of the central bank printing presses…

And he can feel the hot rush of freshly minted bank notes flying around the world.

This market is over-regulated. And manipulated to the point where there is no way you can know for sure whether your shares will jump, dive or drift next.

Just take a look at the Aussie market over the past 90 days…

ASX200 – up 4.46% in 90 days… But WHAT A RIDE!

ASX200 - up 4.46% in 90 days... But WHAT A RIDE!
Click here to enlarge

Source: Google Finance

Couple that with these recent headlines…

‘S&P warns European nations of downgrades’ – news.com.au

‘Top China officials sound alarm on growth’ – perthnow.com.au

‘Jim Rogers: US Falling Into “Deeper Trouble,” Faces 2013 Depression’ – NewsMax.com

And you can see why legendary investor Jim Rogers says:

‘The power is shifting… to the producers of real goods. The place [for you] to be is in commodities, raw materials, natural resources.’

Diggers & Drillers Dr Alex Cowie has never put it in those words. But his current investment focus is on what you could call survival assets.

A sneak peak at his new report (due out Thursday) reveals the assets he believes look bullish for the next year…

  1. Precious metals
  2. Energy
  3. Certain base metals
  4. Agricultural commodities

If you add in tinned peaches and shotgun shells and you’ve got the ultimate investors survival kit.

Energy… Precious metals… Base metals… Agriculture…

These are staple commodities with fixed (and growing) demand. They’re the type of commodities Warren Buffett might say have a moat built around them.

Just take a look at how strong they look right now. That’s no mean feat in this market.

Asia-Pacific Agriculture Index

Source: Bloomberg.com

Commodity Metals Price Index
Click here to enlarge

Source: IndexMundi

And 86-year-old Richard Russell, the granddad of investment gurus, says there’s only one business to back right now if you want to prosper in this market… The survival business.

That’s why, like Alex, it might pay you to shift your focus to survival assets.

The kind of assets you can invest in to protect your wealth from inflation… or a world-wide financial crisis that could lead to the greater depression…

The kind of assets that will boom even when businesses are failing, stock prices are plunging and loaves of bread cost $238…

What are they?

Where do you find them?

And can you really invest in them and profit even in the face of a total market collapse?

Watch out for Alex’s report later this week where he’ll answer some of those questions for you. And introduce you to the most profitable investment class of 2012.

Aaron Tyrrell
Editor, Money Morning

Related Articles

Why the Fed’s Actions Make Perfect Sense

Too Big to Bail

Swiss National Bank Intervenes…

Bailouts Still Boosting the Market

Was This Just Another Rigged Market?

From the Archives…

How to Profit from the Inevitable Return to Sound Money
2011-12-02 – Kris Sayce

Two Reasons the Market Should Have Fallen…
2011-12-01 – Shae Smith

Ditch Your Investor Pride to Avoid an Investing Fall
2011-11-30 – Kris Sayce

How to Play a Volatile Market for Profit
2011-11-29 – Kris Sayce

No Thanks to Central Banks
2011-11-28 – Kris Sayce

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Investing in the Market for Survival and Prosperity