Tag Archive | "Washington"

International Business & Investing Expanded


There is expanded international business and opportunity because wage earners and retirees in most of the Western world are being set up. This can create great international business and investing opportunity for you.

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In a moment see why this Ecuador property offers such good value.

Whether this “set up” is on purpose, or not, is a subject of lively contention… but the intention doesn’t really matter much.   The results… created innocently or intentionally will be the same.  Disaster for the middle class.  However opportunities in international business, investing and lifestyles mean that you do not have to share in the loss.

We can begin to understand this fact with three simple thoughts.

The first thought is that the US is currently experiencing deflation. You can see from this graph from the Bureau of Labor Statistics.

small-business-statistics

The December 2008 message Multi Currency Inflation at this site, asked the question… will there be inflation or deflation.

Now we know.

The second thought is that the deflationary forces are creating inflationary fundamentals like we have never seen before. The inflation stage is set. This is a formula that means disaster for most… but this does not have to apply to you.

One reader just wrote:  I’m thinking a ‘creative way’ to fix a problem and work through one’s passion will not handle the whole situation.  I hope I’m wrong and you have an even better idea. Medicine and doctors.  Savings stripped.  Destruction of people’s lives and stability.  All done with intention.

The dollar is  going down the toilet, and the best option I see the Fed and Government taking (for themselves, not for us) is to have a debit system.  The debit system would pay people, and would pay others from the people’s account.  People would no longer research to save taxes.  Their accounts would automatically be debited with whatever the government deems able to be taken.  The funds would filter through the Central Bank to be certain the funds are going only where the government it should go.

There is no more representative republic.  There is no more self determinism.  There are no more freedoms as you can be controlled through your debit card.  If government decides you are an ‘unworthy person’ they can easily take all of your nest egg.  If Congress can so thoroughly devastate us overnight one time, they can do it again.  I have a real hard time thinking about a creative way to generate income.  I trust not a congressman.  I certainly do not trust the current administration.  I don’t think they’re through with us.  Best Wishes to you Gary.

Many readers share thoughts like this. I know that so many of you are suffering. Yet I must say: economics will get worse. Fortunately they will then get better.

This leads us to the third thought… which is “the common person who will bear the brunt of the upcoming inflation.”

Yet you do not have to suffer.

A USA Today article “Wages could hit steepest plunge in 18 years
 by Dennis Cauchon and Paul Overberg” explains the problem. Here is an excerpt:  A bad economy and low inflation are starting to drag down wages for millions of everyday workers and freeze benefits for millions of retirees.
Average weekly wages have fallen 1.4% this year for private-sector workers through September, after adjusting for inflation, to $616.11, a USA TODAY analysis of Bureau of Labor Statistics data found. If that trend holds, it will mark the biggest annual decline in real wages since 1991.
“Wages are usually the last thing to deteriorate in a recession,” says economist Heidi Shierholz of the liberal Economic Policy Institute. “But it’s happening now, and wages are probably going to be held down for a long time.”

Yet falling income for wage earners and retirees is meeting huge potential inflation according to the October 16, 2009  New York Times article  “$1.4 Trillion Deficit Complicates Stimulus Plans” by Jackie Calmes.

Here is an excerpt: The Obama administration said Friday that the federal budget deficit for the fiscal year that just ended was $1.4 trillion, nearly a trillion dollars greater than the year before and the largest shortfall relative to the size of the economy since 1945.  The shortfall for the fiscal year 2009, which ended Sept. 30, translates to 10 percent of the economy.  Economists generally agree that annual deficits should not exceed 3 percent of the G.D.P., and that is the level President Obama had vowed to reach by the end of his first term in 2013.  At 10 percent of the gross domestic product, the 2009 deficit is the highest since the end of World War II, when it was 21.5 percent. At the same time, many Americans are demanding further help, confronting forecasts that job losses will not peak until mid-2010.  Representative John A. Boehner of Ohio, the Republican minority leader in the House, rejected that position. “It is irresponsible for Democrats to continue spending taxpayers’ money we don’t have to fund an agenda that would destroy the jobs we need to get our economy moving again,” Mr. Boehner said.

The problem looks even worse according to another October 16 2009 USA Today article entitled “Obama team makes it official: Budget deficit hits record. By a lot.” Excerpts say: The Obama administration has released new deficit numbers, and they are not pretty.  The deficit for Fiscal Year 2009, which ended Sept. 30, came in at a record $1.42 trillion, more than triple the record set just last year.  In addition, future deficits are currently projected to total $9.1 trillion in the coming decade.

Yet while the wage earner suffers… others are becoming rich according to an October 17, 2009 New York Tines article entitled
“Bailout Helps Fuel a New Era of Wall Street Wealth” by Graham Bowley.

Excerpts say:  Even as the economy continues to struggle, much of Wall Street is minting money, many Americans wonder how this can possibly be. How can some banks be prospering so soon after a financial collapse, even as legions of people worry about losing their jobs and their homes?
It may come as a surprise that one of the most powerful forces driving the resurgence on Wall Street is not the banks but Washington. Many of the steps that policy makers took last year to stabilize the financial system — reducing interest rates to near zero, bolstering big banks with taxpayer money, guaranteeing billions of dollars of financial institutions’ debts — helped set the stage for this new era of Wall Street wealth.  A year after the crisis struck, many of the industry’s behemoths — those institutions deemed too big to fail — are, in fact, getting bigger, not smaller.  Now, the industry has new tools at its disposal, courtesy of the government.  With interest rates so low, banks can borrow money cheaply and put those funds to work in lucrative ways, whether using the money to make loans to companies at higher rates, or to speculate in the markets. Fixed-income trading — an area that includes bonds and currencies — has been particularly profitable
.

Here is why you do not have to suffer and can profit like the big banks.

Messages at this site have repeatedly shown that four ways to beat inflation are to invest in equities, real estate, your own business and commodities.

Commodities are riskiest in the deflationary times.

Equities have skyrocketed this year… as have bonds treated like equities.

This is as an excerpt from a recent  update in our Multi Currency course shows that 61% of my liquid portfolio is in bonds!

Here is the excerpt:

As of October, my current liquid asset allocation is:

Equities

Jyske Invest  Turkey Equity Fund          TRY-EUR        1%

Jyske Invest  European Equity                EUR-                2%

Jyske Bank Share                                       DKK                 2%

Bank of Florida                                          US$                  1%

Total Equity Position                                               6%

Emerging Bonds

Jyske Invest Emerg Bonds Fund          EMCS              8%

EuroInvest Bank Bond                             TRY               4%
Brazil Government Bond                         BRL               8%
Hungary Government Bond                    HUF              6%

EMCS (emerging market currency spread)

Emerging Bonds Total                                         26%

Bonds

Jyske Invest Danish Bond Fund                DKK            14%

Jyske Invest  European  Bond Fund          EUR           12%

Caisse D’Amort Dette Bond                        EUR             5%

Jyske Invest Swedish  Bond Fund              SEK             4%

Total Bonds                                                                 35%

Cash

US$                                                                                      15%

GBP                                                                                       8%

EUR                                                                                      7%

CAD                                                                                      2%

NZD                                                                                     2%

Total Cash                                                                 34%

Our multi currency subscribers have been able to  fight the dismal economy just like the big banks.

You can learn how to enroll in our multi currency course here.

US dollar denominated real estate also offers extra value now.  The dollar has fallen which reduces the price of real estate. This is why I am heavily invested in US and Ecuador property.

Take this acreage and farm house as an example.  This offers great value because it is an investment in real estate… a business and commodities (food)

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Here is the farm house.  From the front porch there are…

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views of the acreage.

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including…

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animal pens…

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crops…

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storage area…

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rental unit and…

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small local canteen the owner operates.  This is a…

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great value at $79,000 asking.

Ecuador Living subscribers have been sent a full report on this property.  Learn more about Ecuador Living here.

You can see the property (until it sells) above on our Imbabura real estate tours shown below.

The greatest asset of all is the ability to labor at what you love wherever you live. This brings everlasting wealth.

This is why we are providing a special three for one offer with our  course Tangled Web… How to Have an Internet Business

This course can help you create your own internet business.

Our emailed course “Tangled Webs We Weave – How to Have Your Own Web Based Business” is a continuing educational program.  You receive the first 28 lessons when you enroll and a new lesson every week or two.

This course teaches how to create a web based business and is developed from the ongoing experiences that we have from our successful and profitable internet business.

This course is well worth the enrollment fee of $299… but currently you also receive two additional courses FREE.

The other two courses are #1: International Business Made EZ, and #2: Self Fulfilled – How to be a Self Publisher.

These two courses have sold for $398 and thousands have paid this price. We add them to your course, at no added cost, as I believe they will help you develop a better business in these crucial times..

Even Better Get All three Courses Free

To make this offer even more compelling,  I am giving everyone who enrolls in all our seminars or tours for any one month, October, November or December, “Tangled Web… How to Have an Internet Business Course,”  “Self Fulfilled- How to be a Self Publisher” and “International Business Made EZ” free.

Inflation is coming and will hit wage earners and retirees hardest of all.  Yet you can succeed. We look forward to sharing ideas on how to succeed with real estate, multi currency bonds and equities and your own business.

Gary

Head south to Ecuador!

Here is the balance of our 2009 Ecuador real estate tour schedule…  plus Blaine Watson’s Beyond Logic and our last Ecuador Shaman Mingo of the year.

Nov. 9-10 Imbabura Real Estate Tour

Nov. 11-14 Ecuador Coastal Real Estate Tour

December 6-8 Blaine Watson’s  Beyond Logic & Shamanic Tour

December 9-10 Imbabura Real Estate Tour

December 11-13 Ecuador Coastal Real Estate Tour

Join us in 2010.   Attend more than one seminar and tour and save even more plus get the three emailed courses free.

Our multi seminar-tour discounts have grown!

See the 2010 winter schedule below.

2 seminar courses & tours

3 seminar courses & tours   $1199 $1,749

4 seminar courses & tours   $1,399 $2,149

5 seminar courses & tours  $1,599 $2,499

(Be sure to show in the comments section which courses and tours you are attending)

International Club attend up to 52 courses and tours in 2010 free.

ecuador-exports

Jan.   8-11     Ecuador Export Tour ($499) Couple $749
Jan. 13-14     Imbabura Real Estate Tour
Jan. 16-17     Coastal Real Estate Tour
Jan. 19-20    Quito-Mindo Real Estate Tour
Jan. 22-23    Cuenca Real Estate Tour

Feb. 11-14   Quantum Wealth Florida -International Investing & Internet Business, Mt. Dora, Florida ($749) Couple $999
Feb. 15-16   Travel to Quito and Andes
Feb  17-18   Imbabura Real Estate Tour
Feb. 20-21  Coastal Real Estate Tour
Feb. 23-24  Quito-Mindo Real Estate Tour
Feb. 26-27  Cuenca Real Estate Tour

Mar. 11-14     Super Thinking + Spanish Course, Mt. Dora, Florida ($749) Couple $999
Mar. 15-16    Travel to Quito and Andes
Mar. 17-18     Imbabura Real Estate Tour
Mar. 19-20    Cotacachi Shamanic Tour
Mar. 22-23    Coastal Real Estate Tour
Mar. 25-26    Cuenca Real Estate Tour

We have been conducting Ecuador real estate tours for a decade longer than any others.   Our success has grown because we do not accept commissions on Ecuador estate shown on these tours.   Our goal is to help you know how to find the best deals on  Ecuador real estate.

The pictures below show some of the property we’ll view on the Ecuador real estate tours.

Delegates see two and three bedroom Andean condos like this.

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with views like this…

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In the $50,000 range.

Large square footage, fixer upper’s like this…

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with large gardens and …

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this view are offered at…

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$30,000… asking.

We see luxury townhouses at $75,000

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We view mansions…

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inside and…

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out.

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Gated communities are visited.

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Coastal land, houses and condos on the beach… near the beach and with views are seen.

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We see beach front penthouses with these views.

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Ultimate luxury…

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Ecuador beach properties are…

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seen.

Plus rustic houses with…

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perfect beach position are found.  I am told that a delegate purchased this house on our last tour.

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Here it that rustic house, on the right of Merri and me walking the beach with a friend and our hound.

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These brand new beach view condos are $89,000 (some of these units for sale are mine and are offered at $79,000 for Ecuador Living subscribers).

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We see luxury condos but also rustic beach B&B opportunities like the one below at $60,000… asking.

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We’ll even see commercial Ecuador real estate opportunity like this hotel… and

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even this Ecuador golf course on a lake that is for sale with…

two restaurants.

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with 144 seats and…

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rental units on…

ECUADOR-PROPERTY

this lake.

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We hope to serve you well with Ecuador real estate.

Gary

Read the entire articles:  Wages could hit steepest plunge in 18 years

$1.4 Trillion Deficit Complicates Stimulus Plans

Obama team makes it official: Budget deficit hits record. By a lot

Bailout Helps Fuel a New Era of Wall Street Wealth  by Graham Bowley

Ecuador & International Banking Update


Here is an important Ecuador & international banking update created by the wonderful world of mobility in which we live.

Our global mobility provides huge benefits… broadens our horizons and enriches mankind through global trade.   Yet being global also creates some problems… one of them is banking.

This site recently posted a message about Ecuador banks that began with, “I do not trust Ecuador Banks.”

This is not a slight on Ecuador.  This statement is a comment on the realities of trying to maintain control of one’s own wealth in an era where almost all governments are increasing control over money.

The banking article was followed by  another article stressing  the importance of diversification in Ecuador Diversified.

Here is a reminder of the importance of this information.  A couple of years ago I purchased a block of buildings in Ecuador planning to resell them.  I am according to plan selling them now and recently received a payment.

My attorney wrote this to me:

They deposited funds in my account last Wednesday to pay for the condo and asked me to send to you.  There is a 2% tax on money going out of Ecuador which was recently established, plus bank commissions.  I will wait for your instructions  to wire these funds to you.

There previously was a 1% tax but it has now been increased to two percent. This increase is not a big deal but a step in the wrong direction and a reminder that we should never trust any one country, currency or banking system.

I just sent our Ecuador Living subscribers an alert about one more Ecuador banking problem.  Ecuador Living subscribers click here.

Learn how to subscribe to Ecuador Living here.

Hence my mantra to have what I call a “Six Point Command Posture” which is to:

Live in one country
Bank in a second country
Invest in many countries
Earn in two or more countries
Use a company incorporated in a fifth country
Take a second residence

Where to Bank

Knowing where to bank is a growing problem… especially for Americans.  Non Americans should read this article any as you’ll see that you are not exempt from this problem either.

Americans are being crushed between a rock and a hard spot.

The Rock. Many US banks will no longer accept Americans residing overseas because they have a foreign address. This has been caused by the US Patriot Act.  Banks have to know their clients so they refuse to accept (or keep) clients with overseas addresses, even Americans who have banked with them for decades, but change their address.  The following banks have been sited as closing accounts with just 30 days notice of long term customers just because they took on a US address: Ameriprise, Bank of America; Bank of New Hampshire; Citibank; Citizens Bank; Edward Jones, St. Louis; E- Trade; Fidelity Investments; INGDirect; JPMorganChase; Morgan Stanley; National City Bank in Riverview, Michigan; Provident Bank, Maryland; Smith Barney; T. Rowe Price; USAA Federal Saving Bank; Vanguard mutual fund; Wachovia; Washington Mutual; Washington Mutual Investment, Spokane; WellsFargo; Zions Direct.

The Hard Spot. At the same time the IRS has created a set of regulations that discourage non US banks from accepting Americans.

Many Swiss and British based banks will no longer accept Americans.

Here’s an excerpt from a 13, June 2009 Telegraph article entitled “Lloyds Bank hit by Obama tax purge” by By Louise Armitstead:   Banking group drops American customers in UK ahead of costly proposals to stamp out tax evasion  Lloyds Banking Group is ditching American customers based in Britain pending a crackdown on international tax evasion planned by President Barack Obama.

This week American private client account-holders at Lloyds’s received letters informing them of an “important change in policy regarding clients who are resident, domiciled or linked to the United States by property or asset holdings”. They were told the bank had “no choice” but to “cease acting as your investment manager.”

One letter sent to Bank of Scotland’s portfolio management division, which is now part of Lloyds, said: “The USA has a mature regulatory environment governed by its Securities and Exchange Commission. These regulations mean that we are not licensed to manage portfolios for US clients.”

The letter added: “Unfortunately we cannot offer an equivalent service from within Lloyds Banking Group.” Clients have been advised to transfer their assets.

One recipient, who has lived in the UK for over 25 years, said: “After all this time, I’ve suddenly been told I must take my money elsewhere and I don’t understand why. Now I’m scared that other banks won’t take me on either.”

The Brits are no the only group shedding US account holders.

A July 12, 2009 USA Today article entitled “Some foreign banks drop U.S. clients because of UBS flap”  by Kevin McCoy explains how other banks have booted Americans as well.  An excerpt says: The closely watched Justice Department court fight to get the names of 52,000 suspected American tax evaders from Swiss banking giant UBS has prompted some other foreign banks to drop U.S. clients they once welcomed, tax experts said Monday.

Eager to avoid a similar struggle with federal prosecutors, banks including Credit Suisse and HSBC in recent weeks have notified American clients they must close their offshore accounts or transfer them to the institutions’ U.S.-based operations, where tax reporting requirements are far stricter.

“Overall, the international banking community, and particularly the offshore banking community, has been very friendly to American account holders,” said William Sharp, a tax law specialist at the Sharp Kemm law firm in Tampa. “That changed in the past couple of months as a result of the UBS case.”

The Dutch were early in dropping American clients.

ABN AMRO, a huge, Dutch based, international bank gave all clients  with U.S. passports within 30 days notice in 2008 and then closed their accounts because of the  high costs to comply with U.S. regulations.

Expect this problem to get worse! Beginning in 2010 stronger US reporting rules will force even more overseas banks to stop accepting Americans.  They simply cannot afford to fill all the obligations.

Americans should not feel totally alone…nor should non US investors feel totally safe from being shut out of a banking center.

According to the British Times Newspaper, Barclays Bank used the US anti-terror laws to shut down the personal bank accounts of British citizens who were working for Iranian owned businesses.

The bank enforced anti-Iran sanctions under the US Patriot Act.  Accounts of Iranian owned companies that operated completely legally in Britain were shut.  But Barclays went much further. They amazingly shut down accounts of directors of these companies and even more amazing they shut the personal accounts of ordinary staff members, including clerical officers, computer engineers and bank tellers, just because they worked for an Iranian owned company.

Here is an excerpt from a June June 6, 2008 Times of London article entitled, “Barclays bank rejects customers to comply with US terror law:”  Barclays began the account closures in February, shortly after reports from industry sources that US Treasury agents had been touring the City of London putting pressure on financial institutions to withdraw from any form of business that might have Iranian links.

One source told The Times that City banks had been warned that they would lose access to the US market if they continued to deal with Iranian businesses. Barclays has extensive business interests in the United States.

Case study: Cast out in the supermarket

Chris was doing the shopping in Tesco when Barclays rang to tell him that his bank account was being closed. Later that evening his wife was told that her Barclays account, which she had held for 25 years, was also being closed.

Chris, 46, works in IT for Bank Saderat, and his wife is in the accounts department of Melli Bank. Both institutions are Iranian-owned. “They said it was because of sanctions but I knew there were no British sanctions on the banks. I asked them if they were responding to US laws and they said they didn’t have to give me a reason,” he said.

The couple opened new accounts with one of Barclays’ rivals but they had difficulty transferring standing orders, especially Chris’s child-support payments. He said: “I know that UK banks are being pressured by America to stop all dealings with Iran but what impact will it have to shut an English bloke’s account with an English bank? The Iranians won’t give a monkey’s. What upsets me is the lack of respect Barclays have for their customers.”

This last comment hit me strongly… the lack of respect many of the big banks have for their clients.

This is one reason I have enjoyed banking with Jyske Bank in Denmark for more than 20 years.  Jyske is big and well managed enough to be very safe, but small enough to provide genuine care and attention to the individual.

This is why I was not surprised that a number of years ago, Jyske made the decision to spend a lot of time, energy and money to comply with US law so they could continue to serve US as well as non US investors around the world.

This shift though has created some confusion. For example a Reader from the Netherlands sent me this note:  Hello Gary, Since beginning of this year we are subscribed to your newsletter. In your articles we read that it is possible to go to Jyske Bank and start doing multi-currency for about 30,000 dollars. We were very enthusiastic about this philosophy and asked the Jyske Bank for information. However we were very surprised when we got information back including the message that we have to start with $150,000 euro. Can you help us and maybe clarify the misunderstanding about this starting amount?  Thank you very much in advance!

The services and minimums required by Jyske Bank Private Bank (JBPB) for non US investors differs from those offered by Jyske Global Asset Management (JGAM) who serves US investors.

Jyske Global Asset Management (JGAM) offers Americans managed accounts, advisory accounts and IRA services to US clients.

JGAM’s managed accounts provide Americans with access to international investments in all currencies, traded on all stock exchanges.

There are two levels of managed accounts for US investors:

Mutual Fund Managed Accounts, $50,000 to $200,000.  Accounts from $50-200,000 are mainly  invested in mutual funds and ETF`s in order to get the appropriate diversification.

Individual Investment Managed Accounts from $200,000 up are mainly invested in individual securities as trading costs are not prohibitive for this size of account.

There are two forms of advisory accounts for US investors.

Advisory Accounts for US Residents.  Accounts for US residents are available and provide access to investments in currencies, commodities and US listed securities.

Advisory Accounts for Americans who are resident outside the US.   US citizens who are resident outside the US (proof of residence is required) have access to investments in currencies, commodities and all international investments in all currencies, traded on all stock exchanges.

The minimum required to start an advisory account is $25,000.

Because the minimum annual fee is  $1,000 JGAM recommends an initial deposit of minimum $50,000.

IRA accounts are managed accounts with more conservative investments than those in a normal  managed account.  IRA accounts require a minimum investment of $50,000.

Jyske Bank Private Bank offers the following services to non US investors.

Non US Clients can open accounts with minimum deposit of Euro 150,000 (approximately 220,000 USD), or equivalent in another currency.

JBPB works with six profiles:

Income profile. A low-risk profile, invested in currency accounts (cash) and/or traditional bonds.

Stable profile. A low-risk profile, invested in bonds (incl. high- yielding bonds), a small equity part.

Balanced profile. A medium-risk profile, invested in equities and bonds (main emphasis on bonds).

Dynamic profile. A medium-risk profile, invested in equities and bonds (main emphasis on equities).

Growth profile. A high-risk profile, invested mainly in equities and a lesser share in bonds.

Aggressive profile. A high-risk profile, invested almost exclusively in equities.

There are six managed strategy funds (available only in Euro) for investors who want managed services with minimum deposits of US$ 220,000. These six funds are based on the principles of asset allocation and match the investment profiles above so all investors can attain risk diversification, risk management with even a limited investment.

There is a full Discretionary Portfolio Management service for investors who want managed services with US$ 350,000 and above. This service is also based on the six strategies above. Jyske Bank will invest and manage the clients portfolio in close cooperation with the Bank´s experts and their network of international partners. These strategies are offered in EUR, USD, GBP, DKK and SEK.

Investors, who do not want managed services, and have accounts of US$ 220,000 or more, can wish to engage in an active dialogue with their advisers and be very involved in the decision-making process. based on the client’s investment profile. They can invest in currency accounts in a large number of currencies, all tradeable equities and bonds, mutual funds and commodities.

Here is one huge feature I like very much about both JBPB and JGAM…  No Jyske employees in  management, advisory services or any employee receives any kind of bonus pay. This eliminates any temptation for hidden agendas to exist.  Employees have no incentive give any advice or take any action that is not in the client’s best interest.

Technology has given great mobility to our wealth. This mobility is good for the individual and the global economy… but governments do not like this as they wish to control our finances.  The tension created by this struggle between the individual and the collective has created a never ending thrust and counter thrust of regulations and adaptions to these rules.  It is harder to maintain a diversified global portfolio than it used to be… but the effort is still worthwhile.

Gary

The greatest asset of all is the ability to earn wherever you live, which brings everlasting wealth.

This is why we offer our course Tangled Web… How to Have an Internet Business.

A clear mind and healthy body are also a vital assets… plus a second language is a powerful diversification tool.

This is why I am giving everyone who enrolls in our North Carolina or Ecuador International Business & Investing seminar in October or November our “Tangled Web… How to Have an Internet Business Course” (offered at $299) free.

Here are comments from a reader about the way we help:  Thank you for your inspiration and information outlining foreign banking and retirement.  Your comments and suggestions are welcome for planning the steps to evaluate the early stages of living abroad.

Sept. 17-21 Ecuador Super Thinking + Spanish Course

Sept. 23-24 Imbabura Real Estate Tour

Sept. 25-28 Ecuador Coastal Real Estate Tour

Join us with Jyske. Learn more about global investing, how to have an international business and diversification in Ecuador at the seminar.

Oct. 9-11 IBEZ North Carolina with our webmaster  David Cross & Thomas Fischer of JGAM

October 16-18 Ecuador Southern coastal tour (early sign up before Sept. 1, $499 per person).

Oct. 21-24 Ecuador Import Export Tour

Oct. 25-26 Imbabura Real Estate Tour

Nov. 6-8 IBEZ Ecuador Seminar

Nov. 9-10 Imbabura Real Estate Tour

Nov. 11-14 Ecuador Coastal Real Estate Tour

Attend any two Ecuador seminar or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.  $1,799

Read the full articles:

Lloyds Bank hit by Obama tax purge

Some foreign banks drop U.S. clients because of UBS flap

Barclays bank rejects customers to comply with US terror law

Retire & Earn Abroad


Here is another reason to Retire and & Earn Abroad.

Yesterday’s message on lifestyle and Ecuador diversification was really backed up by Uncle Sam quickly!

Whether you retire in Ecuador or anywhere outside your home.. you want diversification. See why below!

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One benefit of retiring in Ecuador is that it can help the poor there.

Yesterday’s article worried about weather change being called a threat to national security and wondered if this concept could further erode human rights.

I never imagined the very next day we would have even more concern… yet an article by James Risen in the New York Times entitled:  “U.S. to Hunt Down Afghan Drug Lords Tied to Taliban” must give us pause.

Here is an excerpt:  WASHINGTON — Fifty Afghans believed to be drug traffickers with ties to the Taliban have been placed on a Pentagon target list to be captured or killed, reflecting a major shift in American counternarcotics strategy in Afghanistan, according to a Congressional study to be released this week.

United States Marines on a recent raid in Helmand Province. Under a new policy, drug traffickers are subject to being killed.

United States military commanders have told Congress that they are convinced that the policy is legal under the military’s rules of engagement and international law. They also said the move is an essential part of their new plan to disrupt the flow of drug money that is helping finance the Taliban insurgency.

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Part of our work at Meson de las Flores was to continue a policy at our hotel to feed the poor. We always keep a pot of nutritious stew on the stove and our less fortunate are welcome any time of the day.  Above is one of our regular guests.

The problem is that the erosion of rights creeps upon us in small steps… like income tax. When to raise revenue to fund the Civil War, an income tax was introduced in the United States with the Revenue Act of 1861. It was a flat rate tax of 3% on annual income above $800.

When the idea was contested on concerns that the tax, once established, would grow, one Congressman stated that there was no way the population would let the tax ever be higher than 3%.   Yet a year later  flat tax this was replaced with a graduated tax of 3-5% on income above $600 in the Revenue Act of 1862.

This act made tax temporary ending in 1866.  Regretfully, perhaps, in 1866, income tax collections reached their highest point ever, over $310 million.  This made the tax popular and today we can see the effects of the small steps… one freedom eroded at a time.

So where does the legal right to kill drug dealers lead?  If it is legal to kill Afghan drug dealers to disrupt the flow of drug money that finance insurgency, what about drug dealers in Mexico that are financing insurgency in the US?  Can we kill them too?  If so, how about if we catch them in the US, can we kill them there?   If so what if they are US citizens or residents?  Can we still kill them?  Can the army become involved… in the name of national security?  Do they have to check a person’s passport before they shoot the drone at them?

These are tough calls, but somehow making it legal for the army to kill non combatants seems like a small step in the wrong direction.

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Merri and I visiting a village that our foundation supports… helping the old and supporting the young by improving their school.  This is a fulfilling retirement activity.

Yet loss of rights is not the only reason we might want to live or retire in Ecuador or elsewhere, full or part time, for diversification.

The rising cost of living makes it difficult to retire in the West.  Plus though taxes are rising… benefits for those who retire are not.

A recent BBC article “Pension age could rise further” shows how the rot in England has grown. An excerpt says:  The state pension retirement age could be increased further, the UK’s pensions regulator has told the BBC.

David Norgrove said rising life expectancy meant millions of people would “undoubtedly” have to wait longer in future to draw a state pension.

People will not save as much for retirement as in the past, with many people “frightened” to do so, he said.

The state pension age is due to rise to 68, and Pensions Minister Angela Eagle said there were no plans to raise that.

Currently, the state pension age is 60 for women and 65 for men, but four years ago Lord Turner published a report calling for it to rise to 68 for everyone by 2044.

But Mr Norgrove said he thought it would end up higher.

Mr Norgrove said: “People are going to have to work longer, partly because we’re not going, as a nation, to save as much for retirement as we did in the past.” He added: “The government’s recent legislation is increasing the state retirement age progressively to 68. I think it will end up higher than that.”

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Part of our program is to get readers who retire in Ecuador involved helping the poor.  We also offer roses and donate the proceeds to help people like this charming woman.  See more about her, and how the roses help, here.

Another reason to retire in Ecuador is that business opportunity seems to be rising there as it falls in the north.

A recent USA Today article. “Business bankruptcies up 240% since 2006”, by Christine Dugas outlines a US retirement and lifestyle problem.  Here is an excerpt of that article:

Entrepreneurship and new small businesses are supposed to lead us out of the recession, just as they have in prior downturns, right?  Sure.

Your neighbor’s grand idea will persuade a bank to lend her start-up money; she’ll open for business in six weeks; and money will immediately flow from customers to her to her employees. Taxes will be paid, and the national economic engine will hum effortlessly in no time. If only.

Today shows a different reality: Commercial bankruptcies are surging. Fewer people are starting small businesses, and firms already open are struggling under changing consumer habits, a lack of funding options and tougher bankruptcy laws. If a nationwide trend seen since January holds true, more than 300 businesses will file for bankruptcy today alone.

The first five months of this year have shown a 52% increase in the total number of commercial bankruptcy filings (36,106) compared with the same period last year (23,829), according to the Automated Access to Court Electronic Records. On average thus far in 2009, some 350 commercial enterprises file for bankruptcy daily an increase of 240% from 2006, the first year after the bankruptcy law was changed.

Major corporate failures, like GM and Chrysler, flash across front pages and websites. But the vast majority of commercial bankruptcies, which are not separated by size of firm by data keepers, are filed by entrepreneurs and small-business owners, says Robert Lawless, professor of law at University of Illinois.

Troubling for the economy, say Lawless and Todd McCracken, president of the National Small Business Association, is the double-whammy of fewer start-ups and increasing bankruptcies.

“In the past, small-business formation increased in a recession because people had self-employment thrust upon them,” he says. “One avenue out of economic hard times self-employment has become less attractive, because the bankruptcy law is less forgiving” and there are fewer options for those entrepreneurs to get bank loans or to find funding elsewhere.

Small business is considered the backbone of the economy. In the past, new businesses led economic recoveries, McCracken says. Small businesses  those with fewer than 500 employees  make up half of the gross domestic product and account for most job growth.

Problems from the devastated housing market, overall recession and suffering major industries all funnel down to small businesses, especially those that supply the troubled corporations.

Household spending cutbacks reach far, too. Dual-income families who are now single-income may no longer need or be able to afford child care, so many of those services are going out of business, says Lester Thompson, a bankruptcy lawyer in Dayton. Sporting goods stores and lawn-mowing services also have struggled.

Small-business bankruptcy filings jumped the most in the Los Angeles and Chicago metro areas, according to Equifax. But even smaller areas of the country are experiencing a big increase.

Many small businesses owe so much money to creditors that there is no future. Such owners often file for Chapter 7 bankruptcy and shut their businesses for good.

The credit crunch is a major contributor to the rise in filings.

Loan dollar volume from the U.S. Small Business Administration has increased 35% since the American Recovery and Reinvestment Act was passed on Feb. 17, according to the SBA. Even so, a National Federation of Independent Business trend report states that in May the percentage of business owners reporting that loans are harder to get rose to 16%, the highest reading since the 1980-82 recession.

With that reality, and loath to dip into their retirement savings, struggling small-business owners have few options other than bankruptcy. When the bankruptcy law changed in 2005 it was mostly aimed at curbing abuse of personal bankruptcy filing. But it also singled out small businesses for harsher treatment, and those changes did not apply to larger corporations, Lawless says.

Bankruptcy is still the only option for many small-business owners who are hanging by a thread.

This is why the idea of living or retiring in Ecuador or elsewhere, at least part time,  for diversification and global earning potential makes sense because opportunity is growing elsewhere.

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Nothing makes our retirement problems diminish faster than helping those who have even greater needs.

An excerpt from a recent Wall Street Journal article “Ecuador’s Business Confidence Index Up” by Mercedes Alvaro says: QUITO (Dow Jones)–Ecuador’s Business Confidence Index, measured by Deloitte and Touche, surged 5% in May to 93.2 points, compared with May 2008, the company said in its monthly report.

Deloitte said the index recovered by 31% in May against April, returning to the levels registered during the last quarter of 2008.

The Index’ recovery is largely due to the waning perception among executives of a deterioration of the country’s economic and political conditions, it said.

Deloitte found that 45% of those surveyed are less optimistic about the economy compared with April, while 52% perceive no change.

The slow but steady increase in oil prices and the revival of the global economy are grounds for expecting that the economy in Ecuador could improve by year’s end or in early 2010.

Questioned about the performance of their businesses, 34% said they had lower sales compared to the previous months and 39% reported revenues down on the same period of last year.

The survey found 20% reported a reduction in their workforce compared to the previous month.

Around 57% of the business leaders surveyed said that the country’s socio-economic situation makes it difficult to attract foreign investment.

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We should help our neighbors at home as well. This is why we are developing environmentally sensitive, sustainable programs to encourage value-added, employment in the Blue Ridge as well.

I have written many times about the benefits of retiring in Small Town USA for lifestyle diversification as well. See more on lifestyle diversification at Inspired to Retire

We can see below why diversification remains important even if we retire in Ecuador.

Just because we want to live or retire in Ecuador does not mean that Ecuador does not have its own creeping erosion of rights problems as well.  An August 3 news.Yahoo article says: Correa: Ecuador to take over radio, TV stations.  QUITO, Ecuador – Ecuadorean President Rafael Correa says “many” radio and TV frequencies will revert to state control due to what he’s calling irregularities.  The president has been at war with Ecuador’s news media since taking office in January 2007. He has called TV stations and newspapers corrupt and mediocre, and twice fined an opposition broadcaster.  Correa did not specify Monday what sort of abuses or irregularities broadcasters have committed. Nor did he name any alleged offenders.

An August 5th update on this matter in the Wall Street Journal says: Ecuador Govt Braces For Reaction To Radio, TV Takeovers

QUITO (Dow Jones)–Ecuador’s government is expecting “strong reactions” to a report that will determine which television and radio stations will revert to state control.

Antonio Garcia, chairman of Ecuador’s National Radio and Television Board, said Wednesday that a report will be issued next week on which stations the government will take over.

President Rafael Correa’s government has alleged that a number of stations received their broadcasting concessions illegitimately and said that “many” would revert to state hands.

Correa’s announcement came on the heels of the government of Venezuelan President Hugo Chavez, the Ecuadorian president’s close ally, shutting down 34 privately-owned radio stations last weekend.

An initial report by an Ecuadorian government commission last year found that 236 of 1,637 frequencies had obtained their concessions illegally.

Garcia brushed off what he called “alarmist accounts” that all radio and television stations will revert to state control and that the government is looking at them on a case-by-case basis.”

He said that some media outlets, however, are “trying to misinform” viewers and listeners.

We’ll stay tuned to what happens with this takeover  at our Ecuador Living  Service.

The greatest asset for diversification is the ability to earn wherever you live and to keep your investments safe.

This is why we offer our course Tangled Web… How to Have an Internet Business.

A clear mind and healthy body are also a vital assets… plus a second language is a powerful diversification tool.

This is why I am willing to pay you $300 to attend either our Ecuador Super Thinking plus Spanish seminar in September or our North Carolina International Business & Investing seminar in October.  Sign up for either seminar and I will email you our Tangled Web… How to Have an Internet Business Course (offered at $299) free plus I’ll knock an extra dollar off your seminar fee…. to round up the $300 savings.

See details of the two seminar below.

Here is Thomas Fischer talking with seminar delegates at a recent international investing course that I co hosted with Jyske Global Asset Management.

retire-in-ecuador

Join Merri, Thomas Fischer of JGAM, our webmaster David Cross and me in North Carolina this October and enroll in our emailed course on how to have a web business free.  Save $300.

Learn more about global investing, how to have an international business and diversification in Ecuador at the seminar.

Oct. 9-11 IBEZ North Carolina

Or join us in Ecuador and learn more about living and retiring in Ecuador.

retire-in-ecuador

Seminar delegates visiting Otavalo market looking for Ecuador export ideas.

Sept. 17-21 Ecuador Spanish Course
Sept. 23-24 Imbabura Real Estate Tour
Sept. 25-28 Ecuador Coastal Real Estate Tour

Oct. 21-24 Ecuador Import Export Tour

Nov. 6-8 IBEZ Ecuador Seminar
Nov. 9-10 Imbabura Real Estate Tour
Nov. 11-14 Ecuador Coastal Real Estate Tour

Attend any two Ecuador seminar or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.  $1,799 for two.

Learn more about the power of  Ecuador export ideas

See WSJ article Ecuador’s government braces for reaction

See NYT article U.S. to Hunt Down Afghan Drug Lords Tied to Taliban

Ecuador Diversified


Ecuador is a great place of diversification.

I often get letters from readers like this.

Dear Gary, I have noticed that you have mentioned (a few times) that you and Merri are not residents of Ecuador —– and you do not want to become residents. Would you be kind enough to explain what brought you to this decisions?  Thank you,

My first reply is always “grandchildren!”

Plus there is a limitation. When you become a resident you cannot be out of Ecuador more than  90 days per year during the first two years of your residency.  Merri and I have not been in one place that long for 40 years.

This is our unique quirk.  We are very mobile people… have four homes and move around a lot.

Every person has a unique set of circumstances.  Our relationship with our God, family and purpose in life should be the first determining factors that shape a lifestyle including where we live.

Yet if I did not have grandchildren in the US, I suspect that Merri and I would be living in the same way we do in the Blue Ridge and Ecuador with diversification.

If you have been reading my site for long you may know that since I wrote my first book, Passport to International Profit in the 1970s, my mantra has been to have what I call a “Six Point Command Posture” which is to:

Live in one country
Bank in a second country
Invest in many countries
Earn in two or more countries
Use a company incorporated in a fifth country
Take a second residence

Why diversify and have two places of residence?  The answer is to have options.

Things could go wrong in Ecuador. My impression is that Correa is nowhere as bad as the Western press make him out to be… yet if I am wrong… or some other bad event takes place in Ecuador that makes it unsuitable for us, Merri and I have an option.

I do not want to be stuck with everything invested in Ecuador… or any one place anywhere.

So why be in Ecuador at all?  We love the people… the year round sun… the easy way of life… the access to a holistic natural lifestyle and the low cost of living.

Plus frankly, I am as concerned that things could go wrong in the USA.

There are a number of fundamentals about America that are scary to me.

By now almost any thinking person can see raging inflation looming ahead.  They can see the US dollar falling.  Yet there are many more American problems I keep my eye on… like the loss of our basic rights.  Take for example the rule that the US military cannot operate in police actions on US soil.  This is a good rule… yet look at this.

I don’t have a lot of respect for the daily press. There is too much meaningless, bad news that seems slanted towards helping a few.

For example I have been watching the press building a Swine Flu scare since the beginning of the year.    They are at it right now with… “watch out for swine flu this fall.”   The press, knowingly or not,  is preparing the public to buy into swine flu vaccine.. good for pharmaceuticals… but maybe not so good for the individual.  Whether the press publishes this type of stuff because fear sells papers or for some hidden agenda, I do not know.  I am not a conspiracy theorist… but I do know that history suggest that no republic lasts in a state of harmony for very long.

So I read with great concern an August 8 article in the science section of the New York Times entitled “Climate Change Seen as Threat to U.S. Security”  by John Broder.

Here is an excerpt from the article:  WASHINGTON — The changing global climate will pose profound strategic challenges to the United States in coming decades, raising the prospect of military intervention to deal with the effects of violent storms, drought, mass migration and pandemics, military and intelligence analysts say.

Such climate-induced crises could topple governments, feed terrorist movements or destabilize entire regions, say the analysts, experts at the Pentagon and intelligence agencies who for the first time are taking a serious look at the national security implications of climate change.

Recent war games and intelligence studies conclude that over the next 20 to 30 years, vulnerable regions, particularly sub-Saharan Africa, the Middle East and South and Southeast Asia, will face the prospect of food shortages, water crises and catastrophic flooding driven by climate change that could demand an American humanitarian relief or military response.

An exercise last December at the National Defense University, an educational institute that is overseen by the military, explored the potential impact of a destructive flood in Bangladesh that sent hundreds of thousands of refugees streaming into neighboring India, touching off religious conflict, the spread of contagious diseases and vast damage to infrastructure. “It gets real complicated real quickly,” said Amanda J. Dory, the deputy assistant secretary of defense for strategy, who is working with a Pentagon group assigned to incorporate climate change into national security strategy planning.

But a growing number of policy makers say that the world’s rising temperatures, surging seas and melting glaciers are a direct threat to the national interest.

What concerns me in this article is that it could be a warning shot that more American rights are about to be violated.

The implication is that  anything to do with  climate change could be viewed as a threat to national security and that more normal, democratic rights to … privacy… presumption of innocence… right to an attorney etc.  will be reduced in the name of climatic national security.

I hope I am wrong about this.  If not, is there anything I can do about this?  Not much… but live in a positive way that is as good for as many as is possible. I can do my best to be ethical and prepare, so if living conditions shift badly in the US… there is always Ecuador.  Or vice versa. (See more on ethical investing below).

I doubt things will get so bad in the US that I would not want to live here anymore.

I doubt things will get so bad in Ecuador that I would not want to live there anymore.

If I am wrong, I doubt even more, that things will get so bad in both places that I will not want to live in one or the other of these societies.

Just in case, here is a photo from my passport.  This is the stamp you get when you are allowed to reside permanently in the UK.

I can always live in the UK and from there, anywhere in the European Union.

This also fits into our lifestyle as we have children who live in England and expect to have grandchildren living there some day.

The point is I have options because I am diversified. Yet the options fit my particular lifestyle.

The US is central to all my family.  The US is a country I love and know and as a US citizen have certain rights.

Ecuador is 3 hours and 45 minutes from the US and as mentioned we are fulfilled by being in Ecuador for many reasons.

Ecuador gives us great weather in the winter and we love the people and the place. Ecuador is not a bunghole we have chosen because  we dislike or fear some other place.

I repeat. The six point command posture is to:

Live in one country
Bank in a second country
Invest in many countries
Earn in two or more countries
Use a company incorporated in a fifth country
Take a second residence

Let’s take this one step further. To have a fulfilling six point lifestyle posture:

Live in one country you love.
Bank in a second country you really enjoy.
Invest in many countries you would like to explore or feel good about.
Earn in two or more countries you would like to explore or feel good about.
Use a company incorporated in a fifth country that best fits your circumstances.
Take a second residence in a place where you love and want to be.

We live in a time of incredible opportunity and freedom. There are probably dozens of places where each of us could enjoy living, investing and doing business.  There is no need to look for the one perfect place.  In fact, such a Utopia probably does not exist.

There are however many places like Ecuador where you can enjoy living full or part time and gain lifestyle diversification.

Also do not look for the perfect place to live, or the one and only business to do or the best investment of all forever.   Our circumstances and countries, institutions and relations change.

Diversification gives us a greater ability to change too.

The greatest asset for diversification is the ability to earn wherever you live and to keep your investments safe.

This is why we offer our course Tangled Web… How to Have an Internet Business.

A clear mind and healthy body are also a vital assets… plus a second language is a powerful diversification tool.

This is why I am willing to pay you $300 to attend either our Ecuador Super Thinking plus Spanish seminar in September or our North Carolina International Business & Investing seminar in October.  Sign up for either seminar and I will email you our Tangled Web… How to Have an Internet Business Course (offered at $299) free plus I’ll knock an extra dollar off your course fee…. to round up the $300 savings.

See details of the two courses below.

Here are delegates at a recent international investing course that I co hosted with Jyske Global Asset Management.

This is why I like banking and investing in London and Copenhagen. They are my favorite European cities.   Plus they are safe places to bank and Merri and I can visit our children when we visit our bankers.

bank-privacy

Here I am with Thomas Fischer of  JGAM at the seminar. While other banks are dumping Americans, Jyske is working harder to enhance its global service for US investors.

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Join Merri, Thomas Fischer of JGAM, our webmaster David Cross and me in North Carolina this October and enroll in our emailed course on how to have a web business free.  Save $300.

Learn more about global investing, how to have an international business and diversification in Ecuador at the course.

Here’s a comment from a Canadian delegate at our last course:  Gary: First let me thank you for an excellent course. We were so fortunate to get an overview of the currency market and the internet business both delivered in understandable language and with logic to back up the ideas.  Although the banking presentation by Thomas was American oriented we Canadians still got great information and know how to go forward with international banking.

Oct. 9-11 IBEZ North Carolina

Or join us in Ecuador and learn more about living and retiring in Ecuador.

Sept. 17-21 Ecuador Spanish Course
Sept. 23-24 Imbabura Real Estate Tour
Sept. 25-28 Ecuador Coastal Real Estate Tour

Oct. 21-24 Ecuador Import Export Tour

Nov. 6-8 IBEZ Ecuador
Nov. 9-10 Imbabura Real Estate Tour
Nov. 11-14 Ecuador Coastal Real Estate Tour

Attend any two Ecuador courses or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.  $1,799 for two.

Learn more about the power of ethical investing and business here.

Read the full article New York Times entitled “Climate Change Seen as Threat to U.S. Security

International Investing Clue


A recent New York Times article gives us an international investing clues.

Here is an excerpt:

WASHINGTON — Reacting to the violent swings in oil prices in recent months, federal regulators announced on Tuesday that they were considering new restrictions on “speculative” traders in markets for oil, natural gas and other energy products.

The move is a big departure from the hands-off approach to market regulation of the last two decades. It also highlights a broader shift toward tougher government oversight under President Obama.

When a government becomes heavily involved in commerce we can expect a loss somewhere. In this case the loss will be in the value of the US dollar.

One way to beat a falling dollar is to but real estate.  Merri and I are always searching for more real estate to but in Ecuador… like this. We (and two of our daughters) have six of these units just 133 steps to the beach.

international-investments

History has proven that governments do not run businesses well.

Take for example, the recent US government commercial decision to bailout numerous failed US businesses.

The bailout was the first error.

The idea of profit, loss and accountability is to weed out businesses that are not productive, competitive or are no longer needed due to change.

When governments invest in infrastructure… this can be okay… even productive for a nation as a whole.

When governments interfere in commerce and spend billions on losers… expect little good.

As soon as those current bailouts began… the question of bonuses and high salaries of the bailed out executives arose.  Is it fair for executives of failed companies to get big bonuses?

Of course not.

This is why failed businesses normally go broke… so the executives do not get paid at all.

Since the government provided bailouts… the executives who led the business into disaster are still employed.  They have all this government money and since many of them are by definition, losers…  they’ll use the losing strategy of spending that money in unproductive ways…  like with big, personal bonuses.

That’s wrong… unless the government once again steps in.

But is further involvement right?

The current solution has been to create a pay czar.

The word Czar is derived from the name Caesar and originally an meant Emperor in European medieval times. The word has since been used to define rulers with a rank like a Roman emperor… a title with an imperial connotation like a King.

Most of modern North America and Europe are nations founded on revolutions that struck down people like that, who claimed to be czars and kings.

Why do we now let our government create new ones?

This cannot be good economic news.

The US has war czar Lute, energy czar Browner… and now pay czar Feinberg.

In fact a recent Fox news article entitled “Obama’s Czars Draw Criticism From Both Sides of the Political Aisle” says: By some accounts, Obama has nearly three dozen czars in his administration, managing everything from closing the Guantanamo Bay detention facility to ending the genocide in Darfur.

So many Czars… all spending US dollars.

Government spending is the least productive type of of expenditure… because Czars  spend taxpayer’s money… not their own.

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Merri and I are look for more real estate in Florida as well. Values are getting better. One lake front property that was listed at $799,000 two months ago is now offered at $349.

Lots of unproductive spending by a government will cause its currency (in this case the US dollar) to fall.

This is my belief… in the continued long term fall of the US dollar.

If you also believe that the greenback will weaken from current levels, this could be a good time for you to borrow US dollars and invest the loan in other major currencies like the euro, Norwegian, Swedish and Danish kroner, British pound and Canadian, Australian and new Zealand dollars.

You can do this at Jyske Bank or Jyske Global Asset Management.

When using leverage with an advisory account clients living in the US are limited to currencies and US registered securities.

Such investors can use ADRs and ETFs.   These US securities have a collateral value (equities have a 67% value i.e. 2x leverage).  When using US securities JGAM requires a W9.

ETF’s traded on the NYSE can be used as collateral if Jyske bank accepts the paper and allocates an collateral value (normally not a problem but this can depend on liquidity).

US citizens living outside of the US have no limitations whatsoever and can buy any security with leverage as long as the bank has a collataral value associated with the security.

Gary

Merri and I are also looking for more property in Ashe County North Carolina where there is plenty of fresh water.

international-investments

There are several large tracts (40 to 100 acres) near our farm now for sale. A broker up here recently sent me this note.

“I am convinced that someone will make some money on this property. The Bank is eager to sell and will consider all offers.

Also, concerning other properties — right now there are entire subdivisions just sitting there unsold, with roads and underground power in place, that are being offered at steep discounts by developers who need to get out from under their mortgage commitments.

Some of these are river front properties that will be quite valuable in the future.

There are also some larger undeveloped tracts available for pretty good prices compared to two years ago.”

Our 2009 course and tour schedule.

Sept. 17-21 Ecuador Spanish Course
Sept. 23-24 Imbabura Real Estate Tour
Sept. 25-28 Ecuador Coastal Real Estate Tour

Oct. 9-11 IBEZ North Carolina

Oct. 21-24 Ecuador Import Export Tour

Nov. 6-8 IBEZ Ecuador
Nov. 9-10 Imbabura Real Estate Tour
Nov. 11-14 Ecuador Coastal Real Estate Tour

Attend any two Ecuador courses or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.

Retire in Ecuador


Retire in Ecuador

Are you thinking that you want to retire in Ecuador?

A huge and growing legal problem that affects the way we bank and invest is forcing Americans to change their financial plans.

We’ll look at this problem and some overseas income earning ideas that can help solve the difficulty in a moment.

One of the solutions to this dilemma is to live or retire abroad and since we focus so much on Ecuador may I review three steps that anyone should  take before they make a final decision to retire in Ecuador.  (Then we’ll get to the problem).

First, visit Ecuador. This seems obvious but we have many people who tell us they have decided to retire in Ecuador before they have visited.

Second, rent a place and stay awhile before you buy or make a final decision to retire in Ecuador. The fastest way to pay too much or make a less than perfect decision about where to retire in Ecuador is to rush a purchase.

Third, create a plan and make sure it will work for you.  Do you need to earn income? If so how.  Do you have enough assets or income  to qualify for a residence visa to retire in Ecuador.  Do you have children who need schools? Do you have healthcare issues to resolve that will affect the location where you retire in Ecuador?

Here is how other readers have told us how we have helped them retire in Ecuador. 

Here are some retire in Ecuador raves  from recent visitors who are checking Ecuador out and who, plan to retire in Ecuador.

We can help you look around to decide if you really do want to retire in Ecuador. Here is what one Ecuador Living subscriber shared.

Dear Merri and Gary, my wife and I are staying here in Ecuador at the El Meson De Las Flores both for the very first time.I thought I would relate our first impressions of this most unique place called Cotacachi.

We arrived here July 3 not knowing if we would seek permanant residency or return to the U.S. Initially the culture difference was a shock,but only after a few days we found ourselves growing fond of the Cotacachi area.

The native people in Cotacachi have made us feel welcome and comfortable.We speak only marginal spanish but store vendors and even the indiginous who sell thier vast array of wonderful organic fruits and vegetables at the Mercado also are all helpful and accomodating

Ecuadorian people seem far more relaxed than many people in the U.S.

And it is true.Ecuadorian children do play together safely after dark.

Most ladies wear the traditional clothing,are quite pretty and take pride in their appearance.

On Leather street there are countless stores with gorgeous belts,boots,handbags,jackets,sweaters,etc,all usually made by the vendors who sell them. These Ecuadorians seem to be very creative and industrious. Otavalo has a huge marketplace and has a surprising bustle to it. To us, Otavalo has its own character but lacks the village atmosphere of Cotacachi.

The views in Cotacachi are incredible. If you like greenery,high mountain volcanoes and patchwork hillsides Cotacachi is spectacular. We went to the Mercado Sunday morning and the veggies and many exotic fruits for sale were beyond belief. Giant heads of brocolli, lettuce, tomatos, herbs and some fruits we have never seen before.

Best of all, so inexpensive. Three large bags about 16 dollars.The restaurants here are inexpensive but they seem to serve mostly starches (rice, potatos etc) along with chicken, beef or pork.

You can order fresh veggies if you want in most eateries.

Also,the produce in Ecuador is fresh.Locally grown and harvested right to your stomach.Certainly not shipped hundreds or thousands of miles like US supermarket produce.For any person who wants to improve their health through diet Cotacachi could be the answer.There are poor people in Ecuador, but no body appears to be going hungry.

Downsides?  Well,the traffic can be noisy and the drivers seem to have the right of way.  There are no emission standards so exhaust fumes can be a problem. Debbie and I have decided to seek residency in Ecuador.

We do live on my pension and believe we can be happy and healthy living a more relaxed lifestyle here in Cotacachi.

Also, I compliment your staff at  Meson? Everyone here has been helpful to us being our first time in Ecuador and also after a particuraly bad experience with animal customs at the Quito airport. Thank you  to Eduardo, Rosita, Consuelo, Franklin, Mauricio, Alberto, Christian the computer guy and the other fine associates at Meson. To the wonderful kindred spirits we have met, Olivia, Maggie, Jaci, Mercedes Peggy and Lee.  Again,thank you all.

Talk to a US (or Canadian) and Ecuador attorney before you retire in Ecuador.

Here is what an Ecuador Living subscriber shared about this.

Hi Merri:  I’ve been meaning to send you a note to let you know my passport paperwork was in perfect order for our 12IX Visa and we got it in two days after the applicaction was sent to Washington.  I gave my permanent visa paperwork to the attorney you recommended when we arrived in Manta and it was in order as well.  There were a couple of documents they had to prepare for us to sign and it was off to Quito with the attorney the day after we met with him for the first time.  I can’t say enough good things about your referal (and his Immigation specialist).  It was because of their help that the legal part of our experience in Ecuador has gone so well.  Thank you again for the referral and for filling me in on what we needed to do prior to leaving the States.  Believe me, most people out there don’t give you the true or whole story about the visa requirements.  Because of your advice, we saved ourselves a lot of headaches.

Another wrote about one of the immigration attorneys we refer to our Ecuador Living readers who want a retire in Ecuador visa.

I contacted the Ecuador attorney as you suggested and he gave my file to hsi asscoiate who specializes in immigration.  They responded immediately and she has been wonderful.  I think I have ordered all the documents I need certified and apostiled.  It’s taking forever to get a couple of them but I’m hoping they will arrive soon.  Until you go through this, you don’t realize just how time-consuming it is.  Thank you so much for your advice in this regard. You and Gary have been so helpful in helping us realize the potential problems and we are very appreciative.

Get to know expats in the community who can share what they have learned as they retire in Ecuador.

One Ecuador living subscriber planning to retire in Ecuador wrote this:

We arrived in Manta on May 30th and after spending a few days at the Howard Johnson’s, rented a house for a month. It was owned by a wonderful Ecuadorian woman (native of Cuenca) who moved to the Casita in the back.  We became great friends and met a lot of people through her as well as through the local Gringo organization.

We came to Cuenca a week ago and are living in a rented, furnished apartment overlooking the city (across from the Ore Verde Hotel.)  We attended the Gringo gathering Friday night and who should appear shortly after we arrived we met another one of your Ecuador Living subscrobers who we had met on the January Tour.  Never did I dream we might run into her in Cuenca.  It was great seeing her.

We know we love Ecuador and, hopefully, after out three month rental is up here we hope to be able to decide where we want to settle.  At this point, we are really loving Cuenca! Thanks, Merri and regards to Gary.

Talk to MDs and learn about the healthcare options you may need before you retire in Ecuador.

Here is what one Ecuador Living subscriber who planned to retire in Ecuador shared about this.

Here is the website for my insurance company in Ecuador.  They have clinics across Ecuador plus a number to call and talk to an English Speaking sales person.

The monthly rate for a 69 yr old – and it is $80. Plus the initial medical exam.

They do not have doctors who speak Englaish but I suspect that within all the clinics there probably is at least one, if not several doctors who speak English.

They do have connections with optmologists and dentists in other clinics.

They do not cover treatment outside Ecuador except for emergency treatment in Colombia.

Emergencies are covered all over Ecuador – say you have the misfortune to suffer a life threatening event then you would, presumably, be taken to Loja and treated in a hospital there. You would pay the cost and the insurance would re-imburse you.

All non emergency treatment needs to take place in Quito or where there are insurance owned or affiliated clinics – at this moment just Guayaquil or Santo Domingo.

Now the problem.

The problem is that Americans have lost control of their wealth.

An insidious form of of loss has been taking place for decades and now we are in the end game.

The theft has taken place in the same way the Nazis robbed the Germans of control.

A German industrialist once explained how the Nazi’s took over when he explained that very few people were Nazis.  However many enjoyed how the Nazis brought back an external German pride.  Most were just too busy to care.  The majority let it all happen at an early stage.   Too late the realization came that the Nazis were in total control.   See how this has happened to your wealth here a Bank Privacy Gone

One way to overcome the problem is with overseas income ideas.

See one Ecuador Income idea at Retire in Ecuador with Income

Big problems creates big opportunity.  The huge problem of losing our bank privacy  is creating great profit for those who move, invest or retire abroad. Whether you work invest and retire in Ecuador or elsewhere,  be sure to create ways to protect your wealth in the inflationary era ahead.

Gary

Join us at our North Carolina farm this July or October for our International business & investing seminars below. Learn more about early retirement and Ecuador.

July 24-26 IBEZ North Carolina

Oct. 9-11 IBEZ North Carolina

Or join us in Ecuador and learn more about living and retiring in Ecuador.

July 24-26 IBEZ North Carolina

Oct. 9-11 IBEZ North Carolina

Or join us in Ecuador and learn more about living and retiring in Ecuador.

Sept. 17-21 Ecuador Spanish Course
Sept. 23-24 Imbabura Real Estate Tour
Sept. 25-28 Ecuador Coastal Real Estate Tour

Oct. 21-24 Ecuador Import Export Tour

Nov. 6-8 IBEZ Ecuador
Nov. 9-10 Imbabura Real Estate Tour
Nov. 11-14 Ecuador Coastal Real Estate Tour

Ecuador Dental & Health Exercise


An Ecuador dental exercise can help you reduce your visits to the dentist plus improve  your health.

Almost anyone can use this and the other exercises below, with little time and no cost, below to enhance their health.

This is important because the existing health care system in the US is creating enormous stress and financial concern.

A recent article “Baby Boomers Struggle”in Baby Boomer Magazine pointed this out in this excerpt:

Paying for medical care has long been a struggle for many Baby Boomers as budgets tighten because of the economic crunch.  Even more obvious, Baby Boomers are skimping on needed treatment.

Nearly half of American Baby Boomers now report that someone in their family has cut back on their medical care or prescribed medications—postponing checkups, recommended tests and procedures; cutting pills or skipping doses of required medications; or not filling new prescriptions, according to a Kaiser Family Foundation poll conducted in October. That’s up from 42 percent of those surveyed six months earlier.

One in three Baby Boomers are having trouble paying medical bills, and one in five reports medical debt of at least $1,000.

“Even in 2007, before the economy really took a downspin, we saw that one in five people was having problems paying medical bills—up from one in seven in 2003,” says Alwyn Cassil, director of public affairs for the Center for Studying Health System Change, a nonpartisan health policy research organization in Washington. “But what we didn’t see last year were these rising rates in unemployment and the problems on Wall Street. The economy may not have been great then, but it wasn’t as bad as it is now.”

Before the fall economic fallout, at least 79 million Americans – including some 7 million Baby Boomers and older – were already struggling with health care bills. Now, more are doing what they can to avoid joining those ranks, even when it means their health and comfort suffer.

In a recent national survey conducted by AARP, one in five respondents blamed health problems on financial stress. About the same percentage said they had delayed seeing a doctor or other medical professional; many reported cutting back on drugs and necessary health care. Roughly one in five respondents also reported seeking outside assistance through drug companies, pharmacies and other programs to reduce their health costs.

Since the recent financial crisis made news, the American Psychological Association reports a 12 percent increase over last spring in people saying the economy is a significant source of stress; those hardest hit are women middle-aged and older.

The entire article shows how to reduce health costs (a link is at the end of this message) but misses ideas on natural… no cost health ideas like the Ecuador dental exercise below.

Actually these exercises are universal.  When Merri and I travel we watch for hints… ancient secrets that can improve our lifestyle.    Usually we find that the knowledge we learn in one country is connected in others.

Knowing how to simply maintain our good health and energy is really important during this economic downturn.

Recessions and depressions are the breeding ground for the next group of extreme rich.   Those who succeed need more than money.

They need good health and a great deal of energy and vitality.  These are the most important assets of all.

Plus the inflation that will come from all the government spending will make the medical systems even more expensive and less accessible.

Merri and I have enormous energy vitality and enthusiasm, running the farm, our publishing business and looking for what’s next.  Even though we collect Social Security, we feel as if we are just getting started.  Despite our heavy work load and travel schedule we seem to be getting younger.

One reason for this are some exercises we learned in Ecuador.

The first exercise is simply to have a cold shower in the morning.

In the early 1970s, Dr. Alexander Leaf was commissioned by National Geographic to study, and write an article about the world’s healthiest and most long-living people.

When Dr. Leaf began his study and his travels, three regions of the world were famous for the longevity of their inhabitants: the valley of Vilcabamba in Ecuador, the Hunza region of Pakistan, and certain portions of the Caucasus mountains in what was then the Soviet Union.

He traveled to these remote areas met, photographed, examined, and appraised these old and healthy people. Dr. Leaf listened to their hearts, took their blood pressure, and studied their diets and lifestyles. He watched them dance and saw them bathe in ice-cold mountain streams. He spoke with them about their daily lives, their hopes, their fears, their life histories. His goal was to separate fact from fallacy and determine the truth about longevity.

One of the Caucasus mountain centurions that Leaf interviewed made the comment. “If I have the strength to get in the creek, it is not my day to die”!

When Merri and I lived in the mountains with an Ecuador yatchak (one who knows), he taught us many exercises for vitality health and longevity.

Having read the National Geographic article, I was not surprised to see that one exercise each day was to, after exercise, bath in ice cold water… and then air dry.

The cold water after exercise rushes oxygen enriched blood to the organs. The hydrogen water molecules in the evaporation process binds with free radicals and helps purify the body via the skin.

In the Eighties, NASA research confirmed that regular cold water swimming leads to a series of bodily changes called “cold adaptation”, which lowers blood pressure and cholesterol and increases fertility and libido in men and women.

When Merri and I lived in our first house on the farm, we were next to Little Horse Creek… so each day I jumped in this chilled mountain stream… even in winter.

Here I am with our son Jake… one Christmas celebration amidst the ice and snow.

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Once we moved to our new house on the farm, we were away from the creek so for efficiency sake, I  installed a spring fed pond in our back yard… continually filled with the same 59 degree temperature water… so I can jump in after my morning exercises. ecuador-dental-exercise

Brrr!

So what exercise to do before that cold shower?

The yatchaks taught us many exercises for longevity.  One often visited markets and one day he bought me a wooden carving of an indigenous ancient in a position of what could be considered exercise and or prayer.  Much of the ancient knowledge has been passed on orally and via coded painted wood and also preserved in Khipus (strings that passed through a knotty alphanumeric system).

After learning this Andean exercise I began seeing how ancients all over the world knew about this.

After receiving the figurine, sometime later I was inducted into an ancient order, the Knights Hospitaler, which has roots dating back a thousand years. Early on as knowledge of symbols was shared with me by the Grand Prior, I spotted something that even he did not know.

He introduced me to one of the grand symbols of the Order.   I did not say a word but saw that the thousand year old symbol of the Knights Hospitaler and my wooden Incan figurine showed the same exercise.

Lessons From Continents Apart

I do this exercise each morning beginning with a stretch to the sun.

ecuador-dental-exercise

Then squat down until your knee touches your opposite heel.

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Bring your hands down to absorb the earth energy but do not touch the ground.

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Then raise your hand to absorb the sun energy before standing back into the sun position.

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This first of all increases your odds for longevity because it improves your balance.

Balance is like a muscle. If you don’t use it,  you lose it.

The two main causes of death in people over 40 years of age (after auto accidents) are falls and accidental overdoses from legal and illegal drugs.

An excerpt from a msnbc.msn.com article about accidental death says:

Alan McMillan, CEO of the National Safety Council says deaths from workplace accidents and car crashes have been fairly stable.

Older motorcycle operators also add to the death toll, McMillan said. Thirty-five percent of motorcycle deaths in 2005 were among bikers age 45 and older. A decade earlier, 15 percent of biker deaths were among the older age group. Motorcycle deaths in 2005 totaled 4,232, more than double the number in 1995.

Tips to prevent injuries from falling

Here are some tips from the American Academy of Orthopaedic Surgeons and the National Athletic Trainers’ Association to help prevent injuries from falls.

Keep muscles and bones strong, by following an exercise regimen:

— Strength training with weight bearing and resistive exercise works for all age groups.

— Practice exercises designed to help improve balance.

— Exercise at least three days a week to improve strength, flexibility and balance.
— Choose low-impact exercises, such as yoga, tai chi and Pilates to avoid stress on joints.

— Stretch daily to improve flexibility and mobility.

The rate of deaths from falls for people 65 and older rose 31 percent from 1999 to 2003, the council reported, which means that deaths from falls are increasing faster than the older population is increasing. A death within one year after a fall can be attributed to the fall.

“We tend to see our home as our safe haven. The data tell us it’s not,” McMillan said, adding that families can take steps to protect the elderly from falls by removing hazards and installing stair rails and grab bars.

Accidental poisoning deaths, mostly caused by medication or illegal drug overdoses, increased from 17,550 in 2002 to 19,457 in 2003. The rate climbed from 6.4 to 6.7 deaths per 100,000 people.

In other words the first way to increase longevity is to exercise for flexibility and balance, avoid drugs and medicine and sell your Harley! Then to improve the quality of heath and reduce the odds of illness, improve your nutrition.

Good nutrtion begins with your food choices and your mouth.

This is where the Ecuador dental exercise helps.   These exercise exercises and strengthens the teeth and much more.  They are incredibly simple and easy to do.   They stimulate the teeth and gums, plus help promote digestion.

First,  run your tongue around your teeth like a toothbrush. This stimulates saliva.

Increased saliva helps digestion.  Saliva also triggers production of a hormone that helps prevent tooth decay. Third saliva kills germs in the mouth.

Finally this exercise strengthens the heart because the tongue is connected to the heart.

Second, collect the saliva in the mouth and churn it around like a mouth wash.

Third, click the teeth easily together three dozen times.  This stimulates and awakens the gums and teeth.

Good health is one of the most mportant assets we can have and is increasingly harder to attain in the West as health care grows in expense. We can use ancient wisdom to overcome and eliminate health problems like the Ecuador dental and other exercises above.

Gary

Join us July 24-26 in the cool Blue Ridge during the hot summer and save $175.

We hope you’ll share our beautiful lifestyle in the cool Blue Ridge with us this summer. July 24-26 IBEZ North Carolina

I have just sent our multi currency email course subscribers a report on coffee related shares that now have a strong upward trend.

Enroll in our July 24-26 seminar and I will enroll you in our multi currency course and send this coffee investing report free. You save $175.

Merri and I love our life in the Blue Ridge… the rushing streams and..

investing-course

cool, green forest.

We invite delegates to the farm for lunch and we’ll take a walk through the woods with delegates who would like to…

investing-course

enjoy nature and the views.

We’ll have a wine tasting of Blue Ridge organic wines. Here are delegates at the tasting last year.

investing-course

I have just sent our multi currency email course subscribers a report on coffee related shares that now have a strong upward trend.

Enroll in our July 24-26 seminar and I will enroll you in our multi currency course and send this coffee investing report free. You save $175. July 24-26 IBEZ North Carolina

Read the msnbc.msn.com article about accidental death at

http://www.msnbc.msn.com/id/19080118/

Read the article Baby Boomers Struggle at

www.babyboomer-magazine.com/news/127/ARTICLE/1407/2009-03-20.html

Ecuador Banking and Business


Recent messages have looked at Ecuador banking and business.

The global economy is going through a paradigm shift.  This creates great opportunity, but also means we all have to embrace change. We need to realize that many will gain a lot in this change… but also some will lose.

Here is an Ecuador income opportunity, a…

ecuador-banking-business

hotel for sale in Otavalo.  Otavalo Market is one of the largest tourist attractions in Ecuador. More below.

There are four places where we are most likely to profit… real estate… commodities… stocks and our own small business… always keeping in mind… value..diversification… service and fulfillment.

Our messages of the last week have featured income earning ideas.

We have looked at:

Ecuador Export Ideas.

Plus how to earn with:

Ecuador flowers Ecuador Flower Income.

US franchises and bed & breakfast at Ecuador & Business Curves.

Ecuador farming at Ecuador Canadian Connection.

Organic Animal Wash.

Ecuador Organic Farming.

The Ali Shungu hotel has been for sale for some time… but we felt the price was  too high…  even though this is an excellent facility with wonderful grounds.

ecuador-banking-business

There is great profit potential with overseas businesses plus there is also enormous tax benefits with an Ecuador or overseas business.

Ali Shungu’s owners wanted a million dollars. “too much”, we thought, “even though it has this full restaurant”.

ecuador-banking-business

There are also enormous legal, asset protection and tax benefits that an overseas business can bring. The most effective structure from a tax deferral point of view is a non U.S. structure (corporation, LLC, limited partnership or trust) that operates entirely outside the U.S. and that is owned 50% or more by a non U.S. person.

Then the owners dropped their asking price to $750,000.  “Getting closer”, was out thinking… but not quite low enough despite this wonderful patio.

ecuador-banking-business

Using an overseas structure, a corporation owned at least half by non U.S. citizens or residents, has helped me expand our hotel business.

Some business owners do not want to have someone else own half their business. If this is the case, I recommend that you donate half the business to some U.S. charities. Pay them some dividends as your profit and treat them well. This can help your business be more fulfilling as well as profitable.

This message shows another Ecuador income producing opportunity, this Hotel Ali Shungu, for sale in Otavalo.

The rooms are adequate.

ecuador-banking-business

plus

ecuador-banking-business

There are three huge condos above the hotel. Here is Merri and one of our delegates on a recent Ecuador real estate tour examining one of the condos.

ecuador-banking-business

Then recently the owners offered us a $150,000 commission to sell the hotel. We are not brokers and do not take commission so our reply was “cut the price for our readers”!  This would place the price at $600,000… an interesting value.

We viewed this hotel on a recent real estate tour and I am sending a full report to my Ecuador Living subscribers next week.   If you are not a subscriber and would like this report, you can learn how to subscribe to Ecuador Living here.

One important point about using overseas structures and banks.  We have warned readers for more than 20 years to be sure to always have an attorney experienced in using overseas structures. The law is complicated.

See one warning written a decade ago at More on the loss of bank privacy

For specific information about using overseas structures correctly, you can contact Joe Cox at jcox@coxnici.com

Joe has been my friend and attorney for more years than I care to remember.  He specializes in estate planning, insurance, trusts and taxation. He received a Juris Doctorate from the University of Tulsa School of Law, and a Master of Laws in Estate Planning from the University of Miami, School of Law. Joe is Board Certified in Estate Planning and Administration and in Taxation by the Florida Bar.

In addition to the Board Certifications, Joe is a Fellow in the American College of Trust and Estate Counsel. He is a member of the American and Florida Bar Associations, and is admitted to the Federal Appellate Courts and the United States Tax Court. Joe is a frequent speaker on tax planning topics such as income taxes, insurance trusts, irrevocable trusts and offshore asset protection trusts. He has also written articles and books concerning income tax and irrevocable trusts.

Joe is listed in Who’s Who in America and Who ’s Who in American Law. Chosen by Florida Trend Magazine as one of the top 1.6% of lawyers in Florida and one of the top 34 Wills, Trusts, & Estate Planning lawyers. Chosen by Worth Magazine to be one of the top 100 attorneys in the Nation.

Among his community commitments, Joe has served many organizations in a leadership position. These include: Naples Community Hospital, Community Foundation of Collier County, YMCA of Collier County, Community School of Naples, Alzheimer’s Association, Forum Club, Senior Friendship Centers, Inc. He was named the Child Advocate of the Year.

Joe will speak at the upcoming JGAM Multi Currency Investment Seminar May 29-31 2009.

Joe wrote several chapters on how to use overseas structures for our course on international business that is included with emailed course n how to develop a web based business. See more here.

Regards,

Gary

Join us in Ecuador.

Ecuador Coastal Real Estate Tour May 16-17. $499 Enroll here.   $749 For a couple.

Delegates stay on this beach that Dennis Goff shot on our last Ecuador coastal real estate tour.

ecuador-canadian-connection

Imbabura-Cotacachi Real Estate Tour May 20-21.  $499 Enroll here.  $749 For a couple.

Ecuador Amazon Herbal Tour May 22-24.  $399 Enroll here. $499 For a couple.

Take Two for One. Attend any of the three international business & investing courses below and select any one of the tours above free.

July 24-26 IBEZ North Carolina + Tangled Web

Oct. 9-11 IBEZ North Carolina + Tangled Web

Nov. 6-8  IBEZ Cotacachi + Tangled Web

Sign up for our three May 2009 tours and attend any of the IBEZ Cotacachi + Tangled Web seminar above FREE.

Attend any two Ecuador courses or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.  $1,799 for two.

Learn about our July 2009 Ecuador export tour 2-4-1 deal here.

See our full 2009 schedule here.

Ecuador Politics & Reality


Will Ecuador politics lead to this?

ecuador-politics

or is this the more likely result of Ecuador politics?

ecuador-politics

See below a batch pf Ecuador pictures and why I lean towards the politics of dancers in Ecuador.  First some words about Ecuador politics.

A reader sent this note asking about Ecuador political realities.

Mr. Scott, I want to thank you for the reports that you are sending me about Ecuador politics. I had decided to come there the first week of April and check things out. Then I saw on the news, here in the US, that the President of Ecuador is becoming just like the President of Venezuela, another dictator that will ruin the country and make it very undesirable and unsafe to live there. I would like for your honest opinion on this matter.  Sincerely,

Here is my Ecuador politics reply.

I never believe much of what I read in the news anymore. When I see how the US, especially the CIA treats Latin politics and Ecuador I am surprised there is not more hostility to the US.

Many readers read a lot of bad stuff about Ecuador politics and Correa and how he is not renewing the US lease on the Manta air base that started in 2000.

What the news on Ecuador politics does not report is what the US has been helping Colombia do from that base.

For example the news up north has not reported on an article at Commondreams .com written by the Environment News Service. Here is an excerpt:

Ecuador Sues Colombia to Stop Anti-Coca Herbicide Spray

THE HAGUE, The Netherlands- The government of Ecuador today filed suit at the International Court of Justice against the government of Colombia, in an effort to stop or restrict aerial anti-coca spraying that has allegedly sickened people on the Ecuadorean side of the border and harmed livestock, farmland, and sensitive, ecologically diverse rainforest areas.

The lawsuit follows seven years of persistent but unsuccessful diplomatic efforts on Ecuador’s part to convince its neighbor to the north to establish a 10 kilometer (six mile) no-spray zone along their shared border.

Colombia is expected to argue that the aerial fumigation of illegal coca farms, which provide the raw material for cocaine production, is a linchpin of the war on drugs.  Ecuador claims that the chemical sprays have sickened its people, poisoned farmland and damaged ecologically sensitive areas.

At a press conference in Quito announcing the lawsuit, Ecuadorean Foreign Minister Maràa Isabel Salvador said, “With the purpose of establishing the existence and dimensions of the afflictions suffered by Ecuador as a result of these and past fumigations, last year President Rafael Correa created the Ecuadorian Scientific Commission, comprised of eminent scientists from our country.

“The results of the commission’s work have been crucial to reaching the irrefutable conclusion that Colombian aerial fumigations have had noxious effects on our people and our environment,” she said.

“There is no doubt that the fumigations conducted by the government of Colombia constitute a grave violation of the sovereignty of Ecuador and of the most basic principles of international law,” she said, “which prohibits a state from causing harm to the population, land and well-being of a neighboring state.”

Since spraying began in 2000, Colombia has refused to consider such measures, the lawsuit asserts. Instead, its planes and helicopters loaded with herbicide have flown right up to and sometimes directly over the border, releasing chemicals designed to eradicate all forms of plant life.

The spray has drifted to the Ecuadorean side, where villagers have reported feeling the mist settle on their skin. People in Ecuadorean border communities, many of them poor subsistence farmers or those raising small cash crops, have suffered skin lesions and rashes, burning eyes, nausea, dizziness, respiratory problems, and intestinal bleeding. Some have died.

Ecuador alleges that the spraying has killed livestock and crops, forcing the abandonment of villages, while harming ecologically sensitive areas of high biodiversity.

Nearly one third of the country’s territory is protected or park land, and Ecuador is estimated to have the highest average biological diversity of any nation on Earth.

Since 2000, the United States has been financing the aerial spraying of coca crops in Colombia, which is the world’s leading producer.

According to the lawsuit, Colombia has refused to disclose the exact makeup of the herbicide it uses, though the active ingredient is known to be glyphosate (N-phosphonomethyl). The active ingredient is reportedly combined with other chemicals to make aerial sprays more potent.

Ecuador protested the violation of its territory as soon as spraying began in 2000, and has sought to resolve the countries’ dispute through negotiation and diplomacy.

As a last resort, it submits its argument to the International Court of Justice, whose jurisdiction is confirmed by the American Treaty for the Peaceful Settlement of Disputes, also known as the Pact of Bogotá, to which both Ecuador and Colombia are parties.

Ecuador has been an active partner against illegal drugs. It is the only Andean country with virtually no coca crop. Yet they have to put up with this even though Colombian government officials agree that the aerial spraying against coca plants is largely ineffective.

Nor did the northern news make much mention when Colombia bombed Ecuador territory to kill a FARC commander that had taken refuge in the hinterlands of Ecuador.

I wonder how the US would have reacted had Mexico dropped bombs in Arizona to kill Mexican criminals there?

Nor have the northern news reported much of the details outlined at antiwar.com in an article by Kintto Lucas entitled  “CIA Infiltration’ Charges Prompt Shakeup in Ecuador’s Armed Forces”

Here are excerpts:

QUITO – President Rafael Correa’s allegations that intelligence services in Ecuador had been infiltrated by the US Central Intelligence Agency (CIA) have led to a shakeup in the armed forces of unforeseeable consequences.

The current crisis broke out as a result of Colombia’s Mar. 1 bombing raid of a Revolutionary Armed Forces of Colombia (FARC) camp in Ecuadorian territory, which led to a brief rupture in relations between Ecuador and Colombia and sparked a regional crisis that was quickly overcome through dialogue.

At least two other members of the Ecuadorian high command have also offered their resignations, said Camacho.

Ponce, the new defense minister, said “this is not setting the stage for a witch hunt, but for a healthy critical exercise of transparency. The stability of our democracy is not based on cover-ups but on the courageous analysis of our actions.”

He also urged the armed forces “to undertake a generous review of their structures and practices.”

On Saturday, Correa denounced in his weekly radio broadcast that the CIA “has totally infiltrated some of Ecuador’s military intelligence bodies.”

According to the news report, when it began to be revealed that the armed forces had previous knowledge of the Colombian air strike on the FARC camp in Ecuador, several military officers complained internally that the intelligence service had not passed on the information.

Local media outlets reported that military intelligence had been following Franklin Aizalla, an Ecuadorian citizen who died in the attack on the FARC camp, without informing Correa.

On Mar. 17, Correa and then defense minister Sandoval learned from the press that Aizalla had been under surveillance, which Colombia’s right-wing President Álvaro Uribe had been aware of for some time.

Colonel Pazmiño’s curriculum indicates “very effective training by the US and Israeli security bodies,” wrote Ecuadorinmediato, which added that “he handled military intelligence operations in a nearly autonomous manner, without duly reporting to his superiors, many of whom were unaware of those actions.”

He also said that, “besides the CIA’s infiltration in the armed forces, it is essential to take a look at what is happening in the police, who have traditionally had the closest ties to US security policies for the region.”

Former US Southern Command chief Charles Wilhelm said in 2000 that after Ecuador signed an agreement leasing the air base in the port city of Manta to the US military, one of Washington’s aims was to “reorient” the Ecuadorian armed forces.

The officer who spoke anonymously to IPS said “part of that reorientation was the modification of the training received by the Ecuadorian military, to make it more similar to the training received by the Colombian army.”

A few days after the Mar. 1 bombing of the FARC camp, the Colombian magazine Cambio reported that members of the Ecuadorian police intelligence services had helped locate the camp.

More recently Ecuador accused an expelled Mark Sullivan, the U.S. Embassy’s first secretary in the office of regional affairs and stated he was in charge of CIA operations here.   Ecuadorean officials claim he meddle in the assignment of senior police.

The US denied this CIA allegation… but why am I not convinced?

Having said this, the Presidents in Ecuador have been bad for the entire 14 years Merri and I have been here. This has made little difference to day to day life.  Go to Garyascott.com and type Correa in the search engine as I have written several messages about him.  He is the best I have seen so far.

I believe that many of his policies are incorrect but he is the first President here that I believe will be reelected in April.

He is smart in that after just two years in office he is running again while he is popular instead of waiting the normal four years.  I believe he will be reelected now. In two more years…who knows?

He has been providing free housing for the poor.

They are little 240 square feet affairs.

Ecuador-political-scene

given free.

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These little houses are everywhere on the coast.

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Let me be clear about Correa. I do not like many of the things he has been doing… but then again I do not like many things that Obama is doing either.

Obama and Correa have much in common… youth… energy and inexperience.

Anyone looking for a place to live where the country has only good politicians may be in for quite a search.

Let me also be clear about my position regarding the USA.

A reader recently asked:

Gary, Just curious – if you love Ecuador so much – why is legal address in NC, USA.   Why a non-profit entity in the US!

My reply kind of says it all.

Does one have to dislike one country because they love another?

We have lived in Hong Kong,  England, Europe, The US, Ecuador, Dominican Republic and have enjoyed them all.    If there is one key theme in the thousands of messages we have sent to our tens of thousands of readers about global living is that diversification, people and value are keys aspects in our beliefs.

We love Ecuador and live part time here.We also love North Carolina and live part time there.  We make no bones about our love for America and how we live more there than in Ecuador.

We reported recently how we are shifting our focus back to Florida and why at Ecuador shamans & truth … value and people… plus diversification.

Those three themes value… people… diversification are our politics.

This is our North Carolina home.

ecuador-politics

This, Meson de las Flores is our Ecuador home. Note how the US and Ecuadorian flag freely fly, side by side, with those of many other nations.

ecuador-politics

Each makes the other better!

We do not get much into politics here. We just enjoy the life… the sweet people… the warm weather… the good food and low cost living and let the politicians and the newscasters play their games. They have very little effect on life here.

In fact bad Ecuador politics in many ways make life better for retirees here.  Bad politics screw up the economy leaving people poor and keeping the cost of living low.

I hope that changes. I would like to see more people in Ecuador prosper but that probably will not happen soon.

Low oil prices… reduced remittances from abroad and a global economic slow down will challenge Correa over the next four years if I am correct and he is reelected.

The bad economics will put Correa under pressure and he’ll make mistakes. He may even come off as a brash hot head.  Does this make him a dictator? Not that I have seen.  Will it make any difference in my life or the other gringo’s living here. Probably not.

In fact if there is anyone to fear it is the NEWS that misleads you and tries with its spin to lock you into a narrow point of view. Life is good out here… make no mistake about this.

While many are living with the crowds and stress and snow and high prices… thinking there is danger here… a growing number of us are enjoying the sun… low stress… low cost and a good life without big brother.

While so many are stressing out up north, here is a group of new residents here in Cotacachi who decided to take the day train from Ibarra to Salinas.

ecuador-political-reality

Off they go!

ecuador-political-reality

Sun… ecuador-political-reality

blue skies and friendship… plus…

ecuador-political-reality

happy entertainment when they arrive…

ecuador-political-reality joy… color and

ecuador-political-reality

good food to share.

None of us are worried much about dictators and these soldiers here.  See my upcoming story about this one next week!

ecuador-politics

However, you should come take a look, see and feel for yourself.

Gary

Join us in Cotacachi.

Future 2009 courses

May 29-31  JGAM Multi Currency investment Seminar Naples Florida

June 12-14 Shamanic Mingo Tour
June 16-17 Imbabura Real Estate Tour
June 18-21 Ecuador Coastal Real Estate Tour

July 3-6 Ecuador Import Export Expedition
July 8-9 Imbabura Real Estate Tour
July 10-13 Ecuador Coastal Real Estate Tour

July 24-26 IBEZ North Carolina

Sept. 17-21 Ecuador Spanish Course
Sept. 23-24 Imbabura Real Estate Tour
Sept. 25-28 Ecuador Coastal Real Estate Tour

Oct. 9-11 IBEZ North Carolina

Oct. 21-24 Ecuador Import Export Expedition

Nov. 6-8 IBEZ Ecuador
Nov. 9-10 Imbabura Real Estate Tour
Nov. 11-14 Ecuador Coastal Real Estate Tour

Attend any two Ecuador courses or tours in a calendar month…$949 for one.  $1,349 for two.

Attend any three Ecuador courses or tours in a calendar month…$1,199 for one.  $1,799 for two

Merri, our webmaster and I have created a new course on how to build a web business so you can earn in Ecuador or anywhere you wish to live.  Here is a special offer on this new course.

You can enroll in this special course for $299. However if you sign up for three courses in any one month.

Multi Currency Investment Seminar


The Multi Currency Investment Seminar conducted by Jyske Global Asset Management will be conducted  May 29 through 31. Details on this multi currency seminar are below.

Learn how to gain free attendance at this multi currency seminar and save $499 or $750.

Thomas Fischer wrote: Hi Gary,  I have spoken with the hotel you recommended  (Naples Beach Hotel) and they have offered me a rate of $159 excluding taxes so this is where we will have the seminar.

At the moment I have the following confirmed speakers:

Yourself
Michael Checkan
Joe Cox
John Mauldin

We will have four of our own people and perhaps a couple more.

Also as of today we can accept IRA and 401K’s at JGAM. We will create 3 new portfolios (low-medium-high risk) taking into account that tax is not an issue.

Here are the details:

Jyske Global Asset Management & Gary Scott  Invites you to participate in our Florida spring multi currency investment seminar .

When: 29-31 of May 2009

Where: The Naples Beach Hotel & Golf Resort
851 Gulf Shore Blvd North
Naples, FL 34102
239-659-430
http://www.naplesbeachhotel.com/

Multi Currency Investment Seminar Details:

DAY 1 MAY 29th
•    Evening Cocktail party

DAY 2 MAY 30th
•    All day presentations with scheduled breaks
•    Dinner

DAY 3 MAY 31st
•    Half day presentations
•    Lunch and Farewell until next time.

Multi Currency Seminar Fee: $499. ($750 for a couple)

Learn how to gain free attendance at this multi currency seminar and save $499 or $750.

Accommodation is to be settled directly with the seminar hotel.  Corporate rate for guests staying at the seminar hotel The Naples Beach Hotel & Golf Resort is $159.00 plus taxes. Please book directly with the hotel using the group name “Jyske Global Asset Management”  Reservations: 1-800-237-7600

Registration:    Please contact your Portfolio Manager or Thomas Fischer via email fischer@jgam.com tel. +1 866-602 –5426 (free-call).

Learn how to gain free attendance at this multi currency seminar and save $499 or $750.

Merri and I feel privileged to participate in this multi currency seminar and I want to mention the quality of the other speakers. I am really tickled to know each of these speakers so well.   This allows me to state with confidence that the data shared at this multi currency seminar will be really powerful.

John Mauldin: John is President of Millennium Wave Securities, LLC, an FINRA registered broker-dealer.  I have known and worked with John Mauldin for more than 20 years.  John came from a publishing background and specialized in finding money managers for his clients, with an emphasis upon hedge funds and alternative managers.  As an afterthought, in late 2000, he put his newsletter on the internet, starting with a thousand or so readers. It has grown to the point where today, his publisher sends the letter to over one and a half million readers each week. Compare this to my readership of 15,000 readers!

Michael Checken: Michael Checkan is President of Asset Strategies International, Inc. and I have known him even longer than John as he specializes in precious metals, foreign currencies, and overseas wealth protection.

I forst knew Michael when he was a Vice President at the Deak-Perera Group whihc in the 1970s was the nation’s oldest and largest foreign currency and precious metal investment firm.  Earlier, Michael was one of the first foreign exchange traders in the international department of one of Washington, D.C.’s largest bank.

Michael and his partners are editors of a newsletter that reaches 16,500 readers globally.  Michael is frequently quoted on TV.

Joe Cox: Joe has been my freind and attorney for more years than I care to remember.  He specializes in estate planning, insurance, trusts and taxation. He received a Juris Doctorate from the University of Tulsa School of Law, and a Master of Laws in Estate Planning from the University of Miami, School of Law. Joe is Board Certified in Estate Planning and Administration and in Taxation by the Florida Bar.

In addition to the Board Certifications, Joe is a Fellow in the American College of Trust and Estate Counsel. He is a member of the American and Florida Bar Associations, and is admitted to the Federal Appellate Courts and the United States Tax Court. Joe is a frequent speaker on tax planning topics such as income taxes, insurance trusts, irrevocable trusts and offshore asset protection trusts. He has also written articles and books concerning income tax and irrevocable trusts.

Joe is listed in Who’s Who in America and Who ‘s Who in American Law. Chosen by Florida Trend Magazine as one of the top 1.6% of lawyers in Florida and one of the top 34 Wills, Trusts, & Estate Planning lawyers. Chosen by Worth Magazine to be one of the top 100 attorneys in the Nation.

Among his community commitments, Joe has served many organizations in a leadership position. These include: Naples Community Hospital, Community Foundation of Collier County, YMCA of Collier County, Community School of Naples, Alzheimer’s Association, Forum Club, Senior Friendship Centers, Inc. He was named the Child Advocate of the Year.

To attend, please contact your Jyske Portfolio Manager or Thomas Fischer via email fischer@jgam.com tel. +1 866-602 –5426 (free-call).

Learn how to gain free attendance at this multi currency seminar and save $499 or $750.

About Jyske Global Asset Management Company (JGAM)

JGAM is an independent, but wholly owned subsidiary of  Jyske Bank… a well established bank with a history of over 100 years.

Jyske is Denmark ’s second largest bank, with 450,000 clients in Denmark and over 30,000 abroad.

Jyske Bank has over 23 billion euros in assets and also happens to be one of the leading multi currency traders in the world. The Danes have always been big multi currency traders because as a small naval country surrounded by England, Sweden, Finland, Russia, Germany, Norway and other countries…they have always had to deal in many currencies.

This historically gained multi currency expertise means that unlike most banks (that trade only eight hours a day) Jyske maintains a 24 hour global currency and commodity dealer service. Many other large banks use Jyske to handle their off hour currency positions. This means that Jyske is huge when it comes to multi currency activity. In fact their turnover reaches $50 billion dollars a day.

Let’s address this issue of safety in more detail. Normally this is a pretty moot point. Right now everyone is concerned. Is a bank safe or not? I like Jyske from a bank safety point of view because there are three bank safety points, from the top down.

Bank Safety Point #1: A recent Yahoo Canada article shows a survey by the World Economic Forum listed five safest countries in which to bank.

Canada
Sweden
Luxembourg
Australia
Denmark

So Denmark is a safe place to bank. Now let’s look at Jyske Bank’s safety rating.

Bank Safety Point #2: Jyske Bank is Denmark’s second largest bank.
On October 10 2008, Moody’s affirmed Jyske Bank’s long-term Aa2 rating stable rating. This decision came despite the deteriorated economic prospects in Denmark, particularly in respect of the property market.

Bank Safety Point #3: Also on Friday 10 October 2008, the Danish Parliament passed a bill that secured all deposits and unsecured claims against losses in Danish financial institutions. The rating of the Kingdom of Denmark is Aaa/AAA with Moody’s and Standard & Poor’s respectively.

That’s safe!

I happen to know Jyske Bank because I began using them (as my bank) over 20 years ago. They are one of the few banks that offers a special multi currency portfolio service for investors from almost anywhere in the world.

I was one of the first writers and publishers to begin writing about multi currency investing. Jyske bank was one of the first banks to offer a multi currency portfolio service…and they were my bank.

Not surprising we got together and have created a symbiotic relationship that can help you learn how to create multi currency portfolios that suit you.

Learn how to gain free attendance at this multi currency seminar and save $499 or $750.

Gary