It may sound strange, but the overwhelming majority of your wealth is kept in captivity. It’s not just a kennel either – your wealth is actually locked in a kind of zoo, to be exploited by paying customers.
Alarmingly, this zoo – also known as the financial system – isn’t very safe for the wealth that’s kept there. The exotic animals caged within have been known to break out and cause massive destruction. In the crash of 1987, it was the beast known as ‘portfolio insurance’ that ran amok. In 2008 there were ‘mortgage backed securities’ and ‘collateralised debt obligations’. Today, ‘risk parity portfolios’ and ‘negative yielding junk bonds’ strain at their rusty cages to get out…
If you trust the zoo keepers – those competent individuals who didn’t notice the entire zoo was burning down until the flames licked their faces in 2008 – then you should be just fine.
But if you’re sceptical… then you may want a ‘Plan B’. This is the function of the Zero Hour Alert, which aims to provide you with wealth protection strategies and profitable investment ideas, some of which are outside the financial system altogether.
It is written by Boaz Shoshan, a former financial adviser, and Nick Hubble, a former investment banker at Goldman Sachs. Both became disillusioned with the state of the financial services industry, and have teamed up to share alternative perspectives with shrewd investors.