Tag Archive | "Australia"

Power Distance Index Profits


Power can bring profits in many ways… the first via the Power Distance Index.

I recently wrote in Ecuador shamans and truth how Merri and I have been drawn more and more back to the USA.   We have enjoyed phenomenal success in Ecuador but we are pioneers… Our investments and business are early in and early out. Ecuador is now really well on its way and for us this is not so fun.

We’ll look at how the Power Distance Index makes Ecuador living better.  First more on PDI.

We’ll still enjoy time in Cotacachi and on the Pacific, but we are arranging for others to take over the day to day so we can  head off on a new adventure.

Part of our next horizon is to make our North Carolina farm much more self sustainable and to share what we learn in the process.

Thinking about this leads me to share some other thoughts on power and the Power Distance Index.

One powerful investing and business idea is to invest in countries with a low Power Distance Index (PDI).

Malcom Gladwell explains this in his newest book “Outliers” a book about what makes  success.

One part of the book looks at the importance of the Power Distance Index in each nation.  This is vital information because it explains how countries differ in their approach to dealing with risk and uncertainty.  The ability to handle risk and uncertainty  in changing times is vital.

Here is how the website www.kwintessential.co.uk describes PDI.

The Power Distance Index (PDI) is one of the five intercultural dimensions developed by Hofstede. In short this cultural dimension looks at how much a culture does or does not value hierarchical relationships and respect for authority.

Examples of cultures with high PDI scores include Arabic speaking countries, Russia, India and China. Those with low scores include Japan, Australia and Canada. See a world map of power distance index scores.

So how does this manifest in a culture or country?

In a high power distance cultures the following may be observed:

. Those in authority openly demonstrate their rank.
. Subordinates are not given important work and expect clear guidance from above.
. Subordinates are expected to take the blame for things going wrong.
. The relationship between boss and subordinate is rarely close/personal.
. Politics is prone to totalitarianism.
. Class divisions within society are accepted.

In a low power distance culture:

. Superiors treat subordinates with respect and do not pull rank.
. Subordinates are entrusted with important assignments.
. Blame is either shared or very often accepted by the superior due to it being their responsibility to manage.
. Managers may often socialize with subordinates.
. Liberal democracies are the norm.
. Societies lean more towards egalitarianism.

The Power Distance Index is a measure of the attitude toward hierarchy.  In short the PDI shows how much people overall, in a country, respect authority.

This index is really important in this rapid changing world because authority almost always lags behind reality.  Authority resists required change to adapt in altering conditions.  Countries with a high PDI suffer from change.

For example the US has a low PDI. Russia has a very high PDI.  Thus during the changing 1980s the Soviet Union disintegrated while the US rebounded and thrived.  PDI differences were not the only reasons for this but when a nation’s leadership cannot communicate with its people…  it cannot sense reality as times shift.

On the subject of the 1980s. Many readers are worried about the current economic downturn.  Current conditions are not as poor as during the twin recessions of the 1980s, when unemployment exceeded 10 percent.  This downturn is on track to be worse… but not yet.

Gladwell writes in “Outliers::  In low power index countries, power is something is something in which power holders are almost ashamed and will try to underplay.  In Austria (a low PDI country)  Prime Minister Bruno Kreiskt was known to sometimes take a streetcar to work.

Here are six countries with high PDIs:
Brazil
South Korea
Russia
Mexico
Philippines
Uruguay

Six Countries with low PDIs:
Austria
Denmark
United States
Ireland
Australia
New Zealand

A low PDI can help a country adapt faster and better to change, so look for investments in countries with low PDIs. 

This message is an excerpt from our latest multi currency lesson.  You can read what to do now as a multi currency subscriber. Learn how to subscribe here.

However countries with high PDIs are often better for living.

I was thinking about this one recent morning while visiting Quito.  This is one of the world’s beautiful cities so I rose to watch the dawn.  The day broke in glorious rose patina.

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Like the days ahead…  the view was obscured until the light began…

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to reveal Quito’s beauty.

Ecuador’s Power Distance Index in Ecuador is a bit high. This does not stop a great city from growing. I loked out and saw that there was plenty here.  Riches enough.  All the …

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creature comforts…

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glowing in the daybreak.  Every material thing a person could want…

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As the light spread, i dressed and rode up to the hotel restaurant.

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I’ll looked out at Quito again in the light of day.

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There is amazing wealth here. The hotel restaurant is opulent.

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With amazing views around the city.  yet the prices here are low in part because…

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poor government is created with the help of a high Power distance Index. This  keeps most of the people in Ecuador poor.  This means that we can help bring and spending our money here.   This who do, help Ecuador’s poor and are rewarded with good living at a low price.

This reinforces what I wrote in “Multi Currency Bank Safety

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

On the subject of banking abroad Denmark has the second lowest PDI in the world (Austria is number one) so it is not surprising that for the last 20 years my major bankers have been in Copenhagen and Vienna.  I like the autonomy that investment advisers have in low PDI countries.

This is in my estimation one reason why Jyske Bank (Denmark’s second largest bank) was not caught in the sub prime or Madoff scandals.

Bank’s in countries with a low PDI are more likely to use the wisdom of their entire organization to head off trouble at the pass.

Organizations have enormous wisdom.

The book, “The Wisdom of Crowds, Why the Many are Smarter than the Few and How Collective Wisdom Shapes Business, Economies and Societies and Nations” by James Surowiecki tells how potent the wisdom of a group can be.

The book begins by telling how at the annual West of England Fat Stock and Poultry Exhibition in the fall of 1906, a British scientist became interested in a weight judging competition. 800 people, smart, dumb, old, young in all types of professions guessed the weight of two dressed oxen. The correct answer was 1,197 pounds. The scientist’s research found that the collective estimate was incredibly close, 1,198 pounds.

The book suggests that there is an uncanny and generally unconscious collective intelligence at work. The book shows how clouds of birds seem to move in one mind but actually are each acting on their own following four simple rules:

#1) Stay as close to the center as possible.

#2) Stay two body lengths away from your neighbor.

#3) Do not bump into another bird.

#4) If a predator dives at you get out of the way.

The book suggests that rather than crowds being mindless mobs that the many are weirdly smart and effective even when many of the group are average or below in intelligence or experience.

A key point that the article makes is that there is incredible effectiveness in a diversity of individual intelligences and this is why we are sharing ideas about trends at this site. There are thousands of us reading these messages so perhaps our problem solving ability grows to the 4000th power.

However if a high PDI disconnects its leaders from this wisdom… the organization’s wisdom is wasted.

Bank safety is vital now and PDI can count. Here is a wonderful shot taken by our friend Dennis Goff.  Placid… yet most travel accidents… in air and by oat are caused by a high PDI. The Captain does not listen to his crew!

When you travel… wen you bank… when you invest look for low PDI!

High Energy Sunrise

This is why you may want to join me with the staff of Jyske Global Asset Management in Naples Florida to learn more about where in the world to invest now.  Learn how to attend this course free and save $499 to $750.

Until next message good global investing!

Gary

One of the best ways to prosper in this downturn is with your own internet business. You can enroll in our email internet course here for $299. However if you sign up for all three courses in June or later in 2009, I’ll send it free. You save $299. Learn more here

Get our web based course FREE if you join us in Ecuador. Learn more here.

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

Future 2009 courses

May 29-31  JGAM Florida Investment Course

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

Ecuador Shamans & Essential Oil


Ecuador shamans use essential oils in their healing ceremonies and in many other ways.  

While living in Ecuador with the shamans, Merri, I and our friend Candace Newman learned many additions to existing healing techniques with essential oils.

Here is Candace with a Taita Yatchak, our daughter Francesca and friends at Machu Pichu.

Ecuador-shamans

Essential oils offer many health balancing features and can be delivered though breath, the skin, the soles of our feet and the palms of our hands.

Ecuador shamanic healing wisdom, uses essential oils and the palms of our hands because our hearts extend to others through our palms.

Ecuador shamans hold the hands in high regard as the instruments for giving and receiving….which they view as a scared act. In Ecuadorian agriculture for example the elders are given the sacred honor of planting the seeds. Special bags (shigras) are woven from the threads of the Cabuya  (Agave or Century Plant).

Here I am with an Ecuador shaman next to a Cabuya.

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These long leaves are then scrapped by a master.

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Until the pulp is removed and all that is left are fibers.

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This is the raw material of the shigra.

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This fiber is then hand died and woven into these colorful bags.

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The bags are worn over the heart in the seed spreading ceremony… not around the waist where it would seem easiest to cast the seeds.  The seed must be given from the heart and the hands.  Shigras have been part of women’s daily life since Pre-Columbian times. Archeologists have found similar bags that are 1000 years old! Why have they withstood the test of time?  Because they are part of the sacred giving of life.

In and out. This is life… the law of action and reaction.  We cannot have one without the other and most of this process takes place through the hands…. and this means giving and taking from the heart.

Once a Taita Yatcak (the highest of shamans) in Ecuador explained that banks were places of great energy.  When we receive money, he told us, we should always receive it with the left hand… the hand of receiving.  When we give money… always with the right…. subtle but powerful energy!  From the subtle, we are formed.

Candace writes about the palms of our hands:

Healing Palms with Essential Oils in Ecuador

In developing our Touch With Oils® work over the last 17 years of private appointments, retreat work and Hospice, I noticed that the most comfortable and familiar place for one to be touched is the hands. Feet and face can be uncomfortable and invasive for some people. Shaking hands is an acceptable way to greet people, and a way of extending a welcome. So we are already used to touching with our hands. They are also easy to get to!

The palms of our hands, like the soles of our feet, are a highly absorptive part of our body. These are excellent pathways for the benefits of essential oils to enter our systems. The two most common places for reflexology are hands and feet. We reach into the core of our body through our palms, just like the soles of our feet. The fingers have reflex points for head, sinus, and face tension. An overall gentle hand massage can balance the autonomic nervous system and change the way we feel in minutes. It’s also a wonderful tool to have for helping others.

One day during my month’s stay at Rosaspamba, the Ecuador Shaman said one of his apprentices was in bed with a stomach ache and would I help him…..so out come the palms of my hands to the rescue.  I made a little puddle of Jojoba oil in my palm and added 2 drops of pure Peppermint essential oil.  I applied a little to his nose first to get the “Peppermint Medicine” into his system (through the biochemistry of the nose-brain connection)…and then did a slow gentle belly rub.

Later as I sat on the steps of the little “cabin”,  looking out over the tops of the Andes mountain range,

Ecuador-shamans

Candace at our hacienda, Rosaspamba.

I noticed  a place in the mountains that looks just like the palm of a hand open towards the sky. Just an awesome sight, as if the mountains were making an offering to us as we rest in their sanctuary of nature. I have always said “God’s grandest cathedral is Nature….in all her majestic garb”.

Ecuador-shamans

Candace’s view.

There was another time in the hotel in Quito where a Palm Blend of Jojoba and a drop of Peppermint helped another person in the group with belly rubs due to an upset stomach. Then after a long day in the van visiting areas outside Quito, another traveler was feeling queasy and a little hypoglycemic due to lack of food. This time I put 1 drop of pure Peppermint straight in her palm, had her rub her palms together, cup her nose, close her eyes and breathe deeply.  Essential oils are so strong,  the effects from this palm cupping is immediate.

All we need to do is show up with the palms of our hands….and a little bit of oil.  Peppermint is a necessary for traveling.

Easy and immediate things to do: (1) For inhalation and a quick response, put 2 drops of pure essential oil in one palm, rub palms together, cup nose, close eyes, and breathe deeply. Use Lavender to help with stress, anxiety, panic. It works like smelling salts, with the added benefit of a lovely aroma.

Rub your palms together and apply the blend to the nose, temples and back of neck.  This is enough to affect the way your feel right away. You can also do this in the bath or for a massage.

PEPPERMINT, the oil of digestion is a general tonic, refreshing and invigorating, calm, vitality, traditional medicine in British Herbal
Pharmacopoeiais antibacterial, antispasmodic, antiviral.

Common uses:  Use Peppermint for nausea, motion sickness and sinus-headaches. Stomachaches – blend 1 drop with base oil in palm, apply to nose and massage abdomen clockwise.  Headaches – inhale from bottle, blend with base oil and massage neck, head and shoulders. Sinus, cold, flu – inhale from bottle, steam tent, bath, blend with base oil and massage nose, neck and chest. Eucalyptus and Tea Tree can be added. Motion sickness – inhale from bottle. General fatigue – inhale from bottle, combine with base oil for bath and massage.

Order PEPPERMINT essential oil from Candace here.

LAVENDER, the balancer, is the most versatile and useful essential oil creates a general state of well being from the Latin word “lavare” which means  “to wash.”

Lavender is antibacterial, anti-inflammatory, analgesic, calmative, sedative,  regulates nervous system, helps high blood pressure and blood sugar levels relieves stress, fatigue, and depression

Common uses:  Burns, cuts, bites – apply one drop straight as pain demands.
Headaches, stress, anxiety, fatigue, insomnia – inhale, bath, massage. Aches and pains – compress, bath, massage.  Motion sickness – inhale, apply to nose with base oil, can add Peppermint too.  Palm blend for massage – pour base oil in palm, add 1 drop Lavender. Apply to nose first, then body.

Order Lavender essential oil from Candace here.

Tea Tree Oil, the #1 first aid oil, is the traditional medicine in Australia and is warming and stimulating.

Tea Tree Oil is antibacterial, antiviral, antifungal anti-inflammatory and analgesic.

Common uses:  Cuts, stings, bites, cold sores – 1 drop straight as pain demands. Acne – 1 drop straight, use sparingly and cautiously. Athletes foot, nail bed fungus – 1 drop straight, or add to foot bath, or massage by adding 1 drop to base oil in palm. Colds, flu – inhale, bath, massage, steam tent – for extra strength add Eucalyptus and Peppermint. Palm blend for massage and chest rub – pour base oil in palm, add 1 drop Tea Tree. Apply to nose first, then body.

Order Tea Tree essential oil from Candace here.

EUCALYPTUS, the oil of respiration, is warming and stimulating,
helping to move the rivers of the body invigorating and strengthening

Eucalyptus is antibacterial, antiviral stimulates fluid circulation, expectorant, mucolytic.

Common uses: Colds, flu, bronchitis – inhale from bottle, steam tent, baths, for massage add 1 drop to base oil in palm and apply to nose and use as chest rub. Before bed put 1 drop straight Eucalyptus on soles of each foot and put on socks. Sinus infection – inhale from bottle, steam tent, combine with base oil and apply to and in nose, massage head and sinus areas. Add Peppermint too. Joint aches and pains – combine with base oil and rub areas. Can add Lavender too.

Order EUCALYPTUS essential oil from Candace here.

ORANGE, the natural tranquilizer promotes a feeling of well being
sweet and warming, makes one smile.  Always combine with base oil
before applying to skin

Orange is antiseptic, antidepressant, anti-anxiety and harmonizing to the body and mind.

Common uses:  Anxiety, depression, nervous conditions – inhale from the bottle, combine 1 drop in base oil in palm and apply to nose and massage neck, abdomen, low back.  Children (wonderfully calming at bedtime, also combined with Lavender) – pour base oil into palm of hand, add 1 drop Orange (or 1 drop Orange and 1 drop Lavender), apply a little to nose and massage abdomen, feet, hands, or back.

Order ORANGE  essential oil from Candace here.

FRANKINCENSE , the oil of protection, is strengthening, protecting, slows and deepens the breathing process, a traditional medicine in Egypt, India, China.

Frankincense is antiseptic, anti-inflammatory, expectorant, sedative, tonic.

Common use:   Skin care, immune system, anxiety, nervous tension and mental concentration. Inhale straight from bottle, put 1-2 drops on cotton ball or
use in diffuser. Mix in base oil to apply to skin.  Apply blend to nose, temples and back of neck.

Order FRANKINCENSE essential oil from Candace here.

GERANIUM, the Yin Balancing Oil  soothes nervous tension and nerve pain nourishes mature, congested or bruised skin, nurtures entire system.

Geranium is antiseptic, anti-inflammatory, antifungal, analgesic, astringent, tonic, supports adrenal cortex.

Common Use: Use for nervous tension, neuralgia, shingles, stress, anxiety, menopausal imbalances, and circulation. Inhale straight from bottle, put 1-2
drops on cotton ball or use in diffuser. Mix in base oil to apply to skin. Apply blend to nose, temples and back of neck.

Order GERANIUM essential oil from Candace here.

JASMINE,  a Sensual Oil promotes feeling of optimism, confidence, euphoria and is native to China, India and West Asia.

Jasmine is an antiseptic, antidepressant, aprodisiac, sedative and tonic

Common uses:  Lift the spirits, for stress, apathy, lethary, depression,
nervous exhaustion, frigidity, overwhelm. Inhale straight from bottle, put 1-2 drops on cotton ball or a dab on the wrists. Mix with base oil for massage.
Apply blend to nose, temples, back of neck.

Order JASMINE essential oil from Candace here.

LEMON, the Good Morning Oil is energizing, refreshing, awakening
uplifting to mental and physical state.

Lemon is antiseptic, vasoconstrictor, tonic, anti-rheumatic do not apply directly on skin, sensitive to sun exposure

Common Uses: Use for fatigue, concentration and immune system. Helpful with coffee/cigarette withdrawal. Good in diffuser to cleanse air. Inhale straight from bottle, put 1-2 drops on cotton ball or use in diffuser. Mix in base oil to apply to skin. Apply blend to nose, temples and back of neck.

Order LEMON essential oil from Candace here.

ROSE OTTO, oil of the heart is  nurturing, calming, cooling, regulating promotes an overall sense of well being and peace

Rose otto is antiseptic, antispasmodic, aphrodisiac, antidepressant, anti-inflammatory, sedative and tonic.

Common uses:  For the sheer joy that true Rose oil brings to your heart and spirit. Good for nervous tension, stress, grief, overwhelm, impotence and skin care.  Inhale straight from bottle, put 1-2 drops on cotton ball, or dab on wrists. Mix in base oil to use for massage. Apply the blend to nose, temples, back  of neck and heart.

Order ROSE OTTO essential oil from Candace here.

SANDALWOOD, the yang balancing oil, warms, soothes frazzled nerves antidepressant, sedative traditional medicine in India.

Sandalwood is antiseptic (urinary & pulmonary), antispasmodic, helps tighten connective tissue.

Common uses:  For nervous tension, depression, stress, insomnia, dry skin, and urinary or respiratory infections. Inhale straight from bottle, put 1-2  drops on cotton ball or use in diffuser. Mix in base oil to apply to skin. Apply blend to nose, temples and back of neck.

Order SANDALWOOD essential oil from Candace here.

This can be done with any essential oil that is right for the moment. Some oils like citrus can be irritating when applied directly to the skin. If in doubt, use one drop. Less can be more in this case. (2) For skin application, make a Palm Blend which is written up in The Good Medicine Tin® Guide Booklet: add 10-15 drops of Organic Golden Jojoba to your palm and add 1-2 drops of essential oil. .(3) Another option for skin application and massage is to use a blend already made up like our OLA Seven Massage Blends and Self Care Blends.

SPECIAL NOTES:

Using pure high-grade essential oils can prevent allergic reactions while the medicinal properties help  protect your health.

Several oils can irritate the skin if applied full strength-peppermint, orange, lemon especially.  Always combine with base oil before applying to skin.

Until next message, may everything essential good be coming to you.

Gary

Join us in Cotacachi or the coast for our June shamanic tour.

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

On the real estate tours you’ll see property available nowhere else because sellers come to us first since we charge no commissions.  Here is new building for sale in Cotacachi we’ll view. Two units, fully furnished…

cotacahi-shaman

One units has this iew upstairs.

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The downstairs unit this patio.

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Asking price for both units furnished.. $62,500.

One our coastal tour we’ll learn about this land for sale… with a family of monkeys on 24 acres for $100,000 asking.

Ecuador-beach-property-for-sale

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

We have great social times n our tours as well.  Delegates love sharing with one another. Here is one of our groups dancing one night in the courtyard of Meson de las Flores.

Ecuador-shamans

Future 2009 Ecuador courses:

Get our web based course FREE if you join us in Ecuador this March or June.

This new course entitled “Tangled Webs We Weave – How to Have Your Own Internet Business” is available at $299.

This is a bargain. Merri and I have been traveling and doing international business for 41 years. We have had a web based business for over ten years. You can share everything we have learned for just $299.

However if you sign up for any three of our in person courses below, you can have The Tangled Web course free.

Enroll here $299

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

Ecuador-holiday

Oct. 9-11 IBEZ North Carolina

Ecuador-holiday

Oct. 21-24 Ecuador Import Export Expedition

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

Our Cotacachi courses are conducted at this Cotacachi Museum next to our hotel Meson de las Flores.

Ecuador-holiday

 

Cotacachi Exports


Cotacachi export opportunities showed up in many ways last week when the communities around Cotacachi held a fair in the village square.

See how to import Ecuador Valentine’s roses, below or here.

Cotacachi exports

This was across from the cathedral next to Meson de las Flores.

Cotacachi exports

The title was “Andean gifts for the entire world.”

Cotacachi exports

There were products shown from foods…

Cotacachi exports

to blackberry syrups…

Cotacachi exports

hats…

Cotacachi exports

ceramic puzzles…

Cotacachi exports

pots, plates and cups…

Cotacachi exports

made by these women.

Cotacachi exports

Here is the entire family with the former manger of our hotel,  LucillaPeneharra, who organized the event.

Cotacachi exports

There was a shamanic ceremony…

Cotacachi exports

festivities…

Cotacachi exports

enjoyed by all…big and small…

Cotacachi exports

entire families…

Cotacachi exports

even our pumpkin patch North Carolina hound Ma!

Cotacachi exports

We hope to meet you in Cotacachi.

Gary

Join our Import-Export Expedition in Cotacachi  …to the Crafts Trails.  You’ll visit the markets, famous and obscure; visit the known and unknown…those who hand make, hand craft one of a kind goods. We’ll meet the artists, designers, creators, craftsmen, wholesalers and visit them in their workshops, homes and markets.

After 12 years of traveling, digging, exploring and enjoying ourselves all over Ecuador ; we invite the few of you who want to really get out there and experience the Export Trail. You’ll gain exciting ways to increase your security, independence, freedom, wealth and well-being while helping this very deserving country and its indigenous people.

Improve the quality of your life, expand your horizons and reduce the tax you pay as you increase asset protection by having an overseas company and overseas income!

Small at home export businesses can set us free.

When in Ecuador Merri and I will greet each dawn with walk through gentle Cotacachi, a village filled with peace.that seems to just get better and better. Here is one of the many lamp lined avenues shining in the morn.

We are all so fortunate that we can enjoy this and make money as well.

There is such satisfaction in having a business that allows us to travel and live in places we choose. Such freedom..such fun not to mention the profit arising each day and finding yet more money rolling in.

Join other like minded souls this year in Ecuador to learn how to gain freedom and self fulfillment through international investing and business.

See opportunity everywhere in Ecuador.

In wood products.

In Ecuador’s art.

In jewelry

And all types of exports.

A silver lining comes from Merri’s and my extensive travels throughout Ecuador . We have searched, scoured and scrounged our way across this nation to find special products and goods that you can export in a suitcase and make outstanding profits.

You’ll go to the high Andes . You’ll see products from Zuleta where they create handmade “green” cotton-one-of-a-kind tableware, shirts, specialty items. You’ll travel everyday to see different markets, crafts people and masters who create special products that will make your eyes gleam with delight…both for their uniqueness and salability.

In addition, over the years we’ve combined this knowledge and experience with contacts in the form of American and European readers who now live in Ecuador. Working with them we have set up office and business facilities to create an export support service that we can now offer to you.

We have even purchased a 180 year old hacienda that is a charming hotel to turn into your business center!

Here’s the hotel. This is where we will conduct the course when we are not visiting markets. Rooms are only $59 a night + tax.

Plus we have an experienced English-Spanish speaking business people who live here and can act as your local backup for the business.

This combination makes it possible for you to have your own Ecuadorian import/export business, which can be run from your home or in your own Ecuadorian hideaway you’ll be able to buy with your extra profits.

Timing for such a business has never been better!

Exporting has already created fortunes for a few sophisticated individuals. Now because of our knowledge, experience and contacts, a special business is available for you. Until recently, operating an overseas business took a great deal of time and effort to start. This is no longer true.

Technology makes it possible to take your business where opportunity is best and allows you to run this business from anywhere in the world. You can run your export business from an office or at home! The internet makes this more possible than ever before and at the course we’ll share ideas on how to develop and use your website to enhance sales.

The internet is the Colt 45 of business, the great equalizer. If you choose to have your own import-export business you too can let the internet help your business grow for wealth and freedom.

The export expedition combines theory, practice and contacts.

Ecuador is an incredible bargain basement business opportunity now.

Many of our readers enjoy Ecuador, have developed export products and some have even moved to Ecuador and started businesses and we have used this fact to create a system that can help you develop your own export business.

You can gain independence, have more income, security and enjoy overseas travel. This course is not pie in the sky theory. The knowledge you gain comes from years of experience and from our extensive research plus out reader’s current global export activity.

The course is designed so your international business will be easy to start and keep going (with the help of the contacts if you choose).

The Export Trail is an extensive five day course.

Yet the course is only $999 – $1,399 for a couple. You will learn directly from the contacts we introduce to you.

You’ll learn why a business in Ecuador is the ultimate lawsuit and tax protection and why global businesses are immune to recessions. You need not suffer during recession, inflation or during market crashes. Fatal economic flaws which ruin others create your profits for you.

From the beginning, the course gives ways to expand your knowledge about having a business in Ecuador plus provides a network (active business people and investors in 82 countries) that can help you find partners, sell products and services and raise money abroad! The goal of the course is to give you more than just knowledge. You are shown specific businesses you can start now and are backed up with follow up support in Ecuador .

The course brings you real, usable knowledge and the after course support so you can put the knowledge you gain into action right away.

The course takes nothing for granted and walks you step-by-step through every aspect of having a business in Ecuador . One lesson for example shows why this is an idea whose time has arrived. Learn the theory of setting up your business, whether to turn your passion into profit (by starting a new business in a field you love) and how to use existing businesses that we have spotted for you to expand).

You will learn how to become involved in an area where your expertise or interest gives you an advantage. Next you will learn about suitcase exporting that avoids shipping and storage. Merri and I have been importing this way for years. We have researched the facts and figures and are using them now.

Our goal is to help you find products that:

#1: Can be sold to easily identified markets.

#2: Can be marked up many times while allowing a fair trade for the indigenous.

#3: Can be imported in a suitcase.

The course gives you practical tips on how to achieve these goals in three ways.

You share the practical experience from the shipments that we have actually incurred in our own business. You learn the problems we encountered and how to avoid them. (This alone will save you far more than the course tuition.)

One incredibly valuable lesson is on how to buy at the source… and how sometimes it is better to not buy at the source. You will also learn how to establish your market… how to sell your inventory and to whom. How to know your product, your market, your source, and your competition.

Most important you will learn how to market your products abroad.

Which products? The Import/Export Expedition has already identified carved wood, architectural and decorative woods designs in San Antonio de Ibarra.

Textiles from Otavalo.


Here is one of the vendors in Otavalo photographed by delegates at our last Import-Export course.

Religious Santos and Icons from San Antonio de Ibarra

Jewelry from San Goqui.

Paintings from all over Ecuador.

Here is an example of one type of art that a previous course delegate is having made from recycled paper and a metallic paint. Their Reiki symbol line of art is selling as fast as they can get it produced.

Leathers in Cotacachi.

ecuador-export-leather

Here are flowers I imported that were grown in Imbabura.

ecuador-roses

I regularly import roses from Ecuador at a fraction of the price you normally pay. Here I am with 250 roses we had delivered to our home in North Carolina for our own use.

See how to import Ecuador Valentine roses here

You will visit many of these places and more so you can start your business directly from the course after you have learned the fundamentals, visited these places, seen the goods and learned how and meet contacts who can back you up (or even act as a joint venture partners).

Learn how to enjoy the finest things in life because of international friendships plus how to develop them.

The course helps you choose the business you want. Many professionals look for new beginnings, turning hobbies to profits. For example you’ll learn how to set up tours for golfing, fishing, horse riding and other hobbies can be successful businesses. The contacts alone are worth ten times the cost of the course.

We have developed contacts with top businessmen, bankers, accountants, attorneys, marketing experts, business consultants, agents all over the country that can help you, large or small, full or part time.

There you have it, valuable contacts and knowledge about timely and fulfilling business opportunities that you can cash in on now. Regardless of whether you want your business to make millions, or just add excitement and adventure in your life, to reduce tax or even live abroad, the Import/Export Expedition can help you get involved with something you love and turn after tax costs into tax deductible expenses. Whether you have a successful business, want a part time business for change or as job security, this course can be of enormous value to you.

The week long course is only $999 ($1,499 for a couple). This is nothing compared to the incredible education you gain and the importance of the knowledge for you and your family’s wealth now.

One delegate who attended our Ecuador export expedition wrote:

“Our business of selling Ecuador products is still going well. We are now appointing Agents across Australia and should have the whole country covered by mid-August. Our initial shops continue to re-order on a regular basis. The best shops seem to re-order every two weeks.

We have also received inquiry to provide buying services for people in a few other countries. So we will be seriously thinking about starting our own brand name to market globally. If successful, it should help many Ecuadorians.”

Another  couple who attended this expedition sell the goods they export at flea markets.

They wrote: “Good Evening Gary/Merri.  Speaking of a small business, we have opened All American Enterprises, LLC (AAE) which includes selling products from Ecuador at a trade days operation about 200 miles East of Dallas.  I don’t know if we are off to a “bang” but we are sure having fun.  See attached pictures to include our model Consuella trying to look indigenous.

Please tell Merri we have made profit on our inventory and the big sellers are alpaca silver jewelry and Octovalo alpaca ponchos.  We will visit  at the end of September and would like to restock to include blankets/ponchos/throws from Hilana. “

ecuador-export-leather

Space makes it impossible to explain everything in the course, but I am convinced if you try it, you will find it improves your entire way of life! There has never been a time when the risk of higher tax, greater unemployment and investment dangers were higher in North America , but neither has the opportunity for small businesses abroad been so outstanding.

Here is one of the silver workers we visit.

ecuador-exports-silver

Another jewelry workshop does interesting work in silver and ostrich eggs!

ecuador-export-silver

Another craftsman does incredible wood carvings covered in gold leaf like this horse.

ecuador-export-crafts

and incredible gold and bejeweled wooden Faberge egg.

ecuador-exports-faberege-egg

Todd Smith, another attendee, wrote this:

“Recently Gary recommended a printer in Cotacachi, Ecuador, for me to use to print my photographic greeting cards.  I was quite skeptical about doing business in Ecuador, both for the hassle of sending money, shipping the product, and most importantly the quality of the printing.  As a photographer, I am quite picky about printing.  But, after three years of good experience with Gary, I decided to take another risk and try the printer.  The results were outstanding–better than many press jobs I’ve seen in the US, and the price was terrific.

I’ve learned that Gary likes to push his students to try things they thought were too risky.  Gary lives on the cutting edge.  But, interestingly enough, I don’t think he is really a risk-taker, because his feet are always firmly planted on the ground.  I’ve learned over time that I can trust Gary’s thinking, and that he really does come up with some unusual, and very effective, solutions to problems that I’ve tried to solve on my own.

My suggestion is simply to try out Gary.  You may have to risk some money, but my experience has been so positive that feel safe in saying that the risk will be well worth it.  Of the $1000 or so that I invested , I have earned many thousands in return, and have created a lifestyle for myself that is far more fulfilling than anything I had previously.

I did the import/export course last year in Cotacachi, though I was in Ecuador mainly for photography.  While I was there, I met one of Gary’s contacts in the rose business.  We went to his plantation and he was very willing to work with any of Gary’s students to export flowers to the US or Canada.  He showed us prices that appeared to me as if they would form the basis of  a very profitable floral business.  He also explained how the flowers are shipped FedEx directly to you, and they are cut fresh before the shipment.  This means that the flowers you resell will last much longer than those that have been sitting in a florist’s shop forever.  This could be a significant advantage over the competition, and could generate some very satisfied customers.  Sincerely,  Todd Smith

Here I am with Todd Smith trying new tailor made Ecuador suits  that cost $135 to $200…an excellent Ecuador export.

Ecuador-export-suits

Expand your borders now! Increase your economic security freedom, independence and success. Gain a fortune, enjoy life more and help those who are less fortunate.

Here is Bonnie Keogh who attended the export expedition enjoying an open air breakfast at El Meson de las Flores, the center of our expeditions. Bonnie wrote:

ecuador-exports-bonnie

“My name is Bonnie Keough. In March 2006, I went to Ecuador to attend Gary and Merri’s import/export course.

I was hoping to find items to bring back to the States and sell. I love to travel and was looking for business ideas that would enable me to do that.

I had never been to South America (never even considered it) before so it was an adventure. I didn’t know what to expect, but I had been reading Gary’s newsletter for a while and I was impressed with the Scott’s honesty and integrity. They don’t promise overnight success or try to sell you a business opportunity. They share their wealth of experiences, open doors for you and educate you on the possibilities and opportunities available. It’s up to you to implement what you learn.

I found so much more than high quality products in Ecuador, the people I deal with are kind, hard-working folks who truly appreciate my business and I appreciate their honesty and skills. I have returned to Ecuador 6 more times since my first trip and each time I leave I’m anxious to return.

I always personally select all of the items I sell. By doing this, I’ve learned a lot about quality, prices and sources and I enjoy interacting with the people. But it is hard work and not everyone enjoys that aspect of the business. You will have to decide how much you want to participate.

Don’t expect to find mass produced items in Ecuador. If you have an idea for a product, it is a great place to have items custom made. It’s possible to find high quality labor intensive pieces, such as hand knit sweaters or hand woven rugs, at very reasonable prices.

If you have a genuine interest in pursuing an import business, whether in Ecuador or elsewhere, I’m sure you will benefit from the import course. It’s a great introduction to the country and opportunities available there and provides a background on the nuts and bolts of the business. It opened a doorway to a new life for me.

We stress that this is a course combining theory and practicality…but this is a true expedition! You’ll be having fun as you view products, interview, bargain, meet, search and many will even buy. Those who are just looking for a “classroom experience in a hotel” should not attend. Everyone will be out in the field looking and examining and finding. Bonnie”

Join our Import/Export Expedition and learn how your Ecuador business can be made easy today.

Gary

Ecuador Exports Tour – Join Gary & Merri Scott’s Import/Export Expedition in Ecuador .

March 10-15, 2009 – $999 Single. Order $1,399 for two. Order

Cotacachi Exports Expedition

Ecuador Banking & Currency Excerpts


Ecuador banking for gringos can be made easy.

You can use banks like this without even opening a bank account.  We’ll see why in a moment.  First…

Ecuador-multi-currency-atm

First this is day three in Ecuador health week.

Ecuador Health Tip #3  is to simply eat more simply and eat less.

Good nutrition is a vital part of good health. But what nutritionally is right?

Having lived around the globe, I have learned so many schools of thought on nutrition (starting with McDonald’s my primary food provider when in high school and I’m still paying for that bad habit) to shamanic Andean nutritional routines., that my head spins when I think about it. Plus Merri and I nrolled in a doctorate degree program (not for the degree but the knowledge) on holistic nutrition.

Program for Health

The problem is, the more one reads, the more the experts seem to contradict themselves! Some say eat raw, others only cooked. Some say something is good others bad and the list of conflicts goes on and on.

Many of them are right, but the crunch is they are only right part of the time, or in some instances or only if an entire program is followed. And of course, most of them don’t take into account body types, which for us is of utmost importance.

Merri’s and my program for health falls into three categories-nutrition, exercise, consciousness and purification. The three parts are so intertwined that one cannot look at any one of them totally alone.

These categories wrap around themselves in every material and consciousness aspect of health. For example, what we watch on TV is a consciousness aspect of nutrition. Our entire being has to digest what we watch, see and hear. So what we see is a type of nutrition. What we see, hear, smell, feel and taste as we eat (and even before a meal) also impacts the digestion of food. Digestion works with every sense and affects the nutrition we receive.

So the rule of KEEP IT SIMPLE seems to be one that almost all the systems I have blundered across agree on.

Certainly a secret of slowing the aging process is do not eat too much!

This sounds so simple but the fact is almost every diet book in the world tiptoes around this simple fact. Many claim you can eat as much as you want on a diet. Rubbish. The only way that scientific research has ever shown to live a longer life is by cutting back calories.

Biologist Siegfried Hekimi learned how to lengthen the average lifespan of tiny transparent worms from 15 to 20 days (the equivalent of increasing a human lifespan from 75 to 100) and confirmed what many scientific studies have found. There is a link between metabolism and lifespan. Eating less can slow the metabolism down.

Our Andean shaman stressed this fact in many ways.  As mentioned in tip #2, I once asked him his most important rule for nutrition. “Eat only on an empty stomach,” was his reply.

This is hard to do if you eat too much. Your blood sugar rockets (from all the food). This causes your adrenalin to kick in to keep the blood sugar in balance. This causes the blood sugar to plummet. This makes you hungry way before the body has had a chance to digest its meal.

There are more reasons. The body is very adept at confirming to our circumstances by creating habits. We eat a lot and the stomach is stretched. The body worries about this and grows the stomach. The bigger stomach instills the habit for more food to fill it. Habits are hard to break except because we are subject to the law of diminishing returns, we want to eat more and more and more.

That’s a universal rule. Let’s look at some specifics. The Andean nutritional system keeps a good fat, protein carbohydrate balance. The Andean shamanic health diet  does not mix sweet with salt. They avoid fermented foods and divide foods into three group: sweet, savory and neutral. You can mix sweet and neutral or salt and neutral but not sweet and savory.

Melon and pineapple are only eaten alone. The Shamanic way is to have light sweet meals morning and evening and full savory meal at noon.

Keeping life simple makes sense when it comes to Ecuador living and banking.   This excerpt of a full report on Ecuador banking, just sent to our Ecuador Living subscribers shows why. Here is the excerpt.

Ecuador’s currency is the US dollar so no currency exchange is required coming or going.  This makes banking easy to begin…but how can one operate money wise on a day to day basis.

There are several ways to bank in Ecuador without having an Ecuador bank account.

Let me add to begin.  I do not trust Ecuador banks. I  lost a fair amount of money in Ecuador banks when they crashed in 1999.  Once bitten twice shy.  plus it is hard for anyone without a resident visa (which Merri and I do not have nor desire) to open an Ecuador bank account.   There are better ways.

One way is  to use ATMs.  Merri and I never had an ATM card in the US but found that this is a good way to access cash here. We also have a safe in all our rooms in Meson de las Flores. Most  hotels  offer free safety deposit boxes so when we arrive, we just put all our cash, wallet with credit cards and passports in our safe box. Then we just have a bit of cash like $20 or so in our pockets.

Ecuador ATM’s

Merri and I live off of ATMs in Ecuador for our day to day cash needs..

ATM’s are in almost every village in Ecuador and are compatible with international credit cards.

Visa credit cards work at ATMs operated by Bank of Guayaquil, Pichincha, Produbanco and Banco Pacífico. Each ATM shows the logos of which cards can be used on that machine. We use our regular ATM cash card issued by our Florida bank at this Bank of Pichincha branch (shown above) on Cotacachi’s second smaller plaza.

Ecuador-multi-currency-plaza

The plaza is pristine because it is maintained by the bank.

Ecuador-multi-currency-atm-sign

The bank is next to the police station and the second smaller Cathedral.

Ecuador-multi-currency-atm-cathedral

Bes ure to see further on what they are doing behind the bank.  There are two Cathedrals in Cotacachi and one bank…a nice ratio.

However there are three Cotacachi ATMs. The other two are on the main street 10th of August. Here is one of them…the newest of the three.

cotacachi-road-work

We are allowed to take $500 a day from the Pichincha ATM and $300 a day from the others.

Jyske ATM Banking in Ecuador

One nifty way to combine global investment management bank and your cash needs in Ecuador is through Copenhagan with Jyske Bank’s VISA debit cards.

This card makes it easy to access cash from your Danish bank account.

Why a Danish bank?  As mentioned earlier I do not trust Ecuador banks. On the other hand Danish banks are among the safest in the world.

First let’s examine safety.  How safe?

In recent years Denmark has been rated by Standard & Poor’s as one of the safest country in the world in which to bank.

Jyske Bank is well established 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 currency traders in the world. 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.

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: On October 10 2008, Moody’s affirmed Jyske Bank’s long-term Aa2 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.

The people at Jyske are common sense bankers. They had minimal sub prime exposure when that scandal broke. Jyske had zero Madoff exposure.

That’s safe!

How about service?  First of all,  Jyske can manage your wealth. For anyone with $50,000 or more to invest Jyske can buy, sell and hold investments from all over the world, stocks, liquid assets, bonds and commodities. They provide full managed or advisory only services.  They even lend in multiple currencies to leverage investments for investors with $100,000 or more.   Almost no bank in North or Latin America can do this.

Once you have Jyske caring for your wealth, they can then provide a steady stream of cash when you need it…via a global debit card.

Jyske Ecuador & Global Service.

Even US clients who have managed accounts at Jyske Global Asset Management  (JGAM) can have a VISA debit card.

JGAM opens a specific on demand account with Jyske Bank so funds can be made available via the card.

These cards can provide access to cash anywhere in the world…including Ecuador.

Here is Cotacachi’s third ATM.

cotacachi-road-work

Jyske offers three different cards to match different needs.   Each type of card provides considerable flexibility.

You can choose to have the card denominated in a number of currencies based on your choice.  An account is created at Jyske bank in the same currency. No matter the account currency,  the cards can be nominated in euro, US dollar,  British pound, Swiss franc, Swedish or Danish kroner.

If you have have dollars invested and are drawing dollars in Ecuador, you can eliminate forex costs by nominating your card in US dollars.

For more information US investors contact Thomas Fischer of Jyske Global Asset Management at fischer@jgam.com

Non US investors contact Rene Mathys of Jyske Bank at mathys@jbpb.dk

You can read the entire report on how to protect against Ecuador banks, Ecuador bank fees and access money in Ecuador …to pay bills, live and invest  etc. as an Ecuador Living subscriber.

Keeping your investing simple in these complex and difficult times can also be easy as the excerpt below form our multi currency course explains.  Here is the excerpt.

Inflation…to be or not to de… Deflate that is. That is the question…we must answer to invest correctly in the days ahead.

I lean further towards inflation over deflation each day.  We can see it coming…governments (led by the USA) spending so much money they do not have, that currencies lose purchasing power.

Here is another inflationary note from the New York Times in an article yesterday that said:

President-elect Barack Obama plans to include about $300 billion in tax cuts for workers and businesses in his economic recovery program, advisers said Sunday, as his team seeks to win over Congressional skeptics worried that he was too focused on government spending.

The legislation Mr. Obama is developing with Congressional Democrats will devote about 40 percent of the cost to tax cuts, including his centerpiece campaign promise to provide credits up to $500 for most workers, costing roughly $150 billion. The package will also include more than $100 billion in tax incentives for businesses to create jobs and invest in equipment or factories.

This may seem like really good news for business, but bad news for the US dollar and hence inflation.   Spending that is not matched by production is inflationary.

For most people, this is bad.

Yet inflation creates fortunes for those of us who know what to do.

There are three ways to profit and stay ahead of inflation. Multi currency investments in distorted shares….distorted commodities and distorted real estate.

TO KEEP MY GLOBAL INVESTING SIMPLE, I BREAK DOWN MY INVESTMENTS INTO THREE PORTIONS, personal…pension…and property.

Yesterday’s lesson looked at my current personal investments to see how I am reacting to this scenario.  We saw that our current asset  breakdown in our personal liquid portfolio is:
Cash Accounts 36%
Bonds 64%

This cash and bonds have a currency breakdown of

Canadian dollar       9%
Euro                         18%
British pound          3%
Hungarian florin   19%
Norway Kroner        9%
NZ dollar                   9%
Sweden kroner       26%
US dollar                   8%

We asked …why all cash and bonds if I believe in inflation?

You may even wonder more when you see  my pension portfolio breakdown.
The asset breakdown of my pension liquid investments are:

This portfolio is more aggressive than my personal liquid portfolio, with shares, emerging shares and emerging currencies.

You can see my pension portfolio breakdown and why I  keep the investments with the lowest potential profit in my personal account since profits and the high risk investments in my pension as a Multi Currency Portfolio Course

Until next message, may all your money be easy to access in a simple way!

Gary

Join us at a course in Cotacachi or on Ecuador’s coast this winter.

Cotacachi speeds ahead! Yesterday we saw how a new road was transformed in a day.

MERRI AND I WALKED BACK AT 6:40 AM THIS MORNING AND THEY HAD MADE ENORMOUS PROGRESS AND WERE ALREADY ON THE JOB.

cotacachi-road-work

They already have sidewalks complete and…

cotacachi-road-work

are laying the brick pavers. I expect they’ll have made a huge impact by tomorrow and will report then. he workers were tickled when I showed them their picture.

cotacachi-road-work

Jyske Gobal Asset Management will join us Feb. 13-15 for our course International Business & Investing Made EZ

Join us at a course in Cotacachi to learn more about multi currency investing or on Ecuador’s coast this winter.

Feb. 9-11  Beyond Logic Simple Ways to More Wealth and Better Health

Feb. 13-15 International Business & Investing Made EZ

Feb. 16-17 Imbabura Real Estate Tour

March 8-9 Imbabura Real Estate Tour

March 10-15 Ecuador Export Expedition

March 16-19 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

Better still join us all year in Ecuador! See our entire schedule of 27 courses, tours, mingos and expeditions we’ll conduct in 2009 and how to attend as many of them as you like FREE.

The course fee includes meeting at Quito airport (day before the
course)…transportation (by group bus) to Cotacachi and back to Quito.
Course fee does not include air are. accommodations, food or individual transportation.

Profit From the 2011 Economic Disaster


Are We 33 Months From Real Economic Disaster?

Dear International Friend,

Many investors worry about the current economic downturn…yet there is a destructive investment fundamental that is now so powerful it overwhelms all other factors that affect investing.  It has such power it could destroy most investors in North America and make the current recession pale in comparison. The frightening part is it could unleash its destruction as soon as October 2011!  I want to share what, when and when this disaster could happen.

Then I want to share how you can make a fortune from NOW THROUGH 2012 and during this crash.

Before I explain how you can reap profits never before imagined and sidestep the upcoming disaster that will wipe out so many investors…..we need to look at some facts.

These are facts, figures and statistics that will truly horrify anyone who even keeps a modest checkbook.  The figures give rise to such great concern that we can see the horrible predicament into which we are being led.

Let me prepare you by assuring you that every economic crash is simply a shifting of fortunes.  Just as the depression of the 1930s created many millionaires, so will this crash.  Once you understand the problems, you can find easy ways to protect against them and become one of those who are enriched rather than ruined during the transition.

Part of this debacle will come because the US dollar is now near a major fall…in fact an unprecedented crash is a better term what will happen to the dollar.  We now know, having seen the Dow fall 50% in a year, that US institutions are not invincible from unparalleled drops.

There may be ups for the US Dollar.  For every period of a rising dollar, there will be longer periods when dollars fall.  For every upward move, there will be an ever greater fall,  Each rising will be weaker and shorter, each fall, longer and deeper.

In this knowledge lies a fortune!  Here is why this fact is so sure.

In 1964, the year Lyndon Johnson became president, the total national debt was  $316 billion. By the time, Ronald Reagan left office that debt had climbed to $2.6 trillion.  The interest cost alone was $214 billion.  By 1990 the debt had risen to $3.2 trillion and interest costs for just the one year were $242.9 billion. Interest was the largest single government cost after Social Security, even greater than defense spending.  That was when the economic problem began as US debt moved towards a precipice where recovery becomes impossible.

Flash forward 18 years and read this excerpt from a December 2008 Washington Post article.

“President Bush has nearly doubled the national debt during his eight years in the White House.  Mr. Bush is on track to add $5 trillion to the $5.73 trillion national debt he inherited when he took office. According to Treasury Department data, the number was $10.66 trillion at the end of November, and it has been rising at an astronomical rate.”

That’s bad enough…but the future gets worse as the article says that during fiscal 2008, which ended Sept. 30, 2008 the national debt increased by more than $1 trillion, breaking the previous fiscal year record of more than $600 billion.

The government’s debt situation is about to get worse as the Post outlines that
Federal debt should increase by $2 trillion in fiscal year 2009 alone!

Given an average interest rate of 4 percent, that $5 trillion of extra debt requires extra $200 billion per year from taxpayers in interest on that debt – in perpetuity.

The Post article points out,  “During October, the first month of fiscal 2009, the national debt increased by a staggering $549 billion. That was approximately three-quarters of $1 billion every hour of every day, or more than $12 million per minute and more than $200,000 per second.”

This is a lot of debt even for America’s 14 trillion a year economy.

Then the news gets worse.

Excerpts from an August 2008 US News & World report says:  “Welcome to America’s $2 Trillion Budget Deficit.  Barack Obama has already said that America’s ‘investment deficit’ will take priority over its budget deficit.

A rough estimate of the cost of this New New Deal would be close to $500 billion a year, maybe $775 billion if Uncle Sam is to completely offset the drop in consumer spending predicted by Rosenberg. Now, as it is, the government is expected to run a $500 billion deficit next year. So the S&S plan would put that budget deficit at over $1 trillion. And if you tack on a potential $500 billion to $1 trillion bailout of the banking industry, that $1 trillion deficit could conceivably double to $2 trillion.

But a $2 trillion budget deficit would be, like, 15 percent of GDP. That would be the highest level since World War II and more than twice as high as the postwar peak of 6 percent in 1983.

I can’t believe the global bond and currency market vigilantes wouldn’t completely freak, sending U.S. financial markets into chaos. Talk about a worst—though entirely possible—case scenario.

How much worse could the situation get… a one year deficit that is 15% of Americas fourteen trillion dollar a year economy?

The answer is much worse…in fact five times worse… because…
all of these government estimates are skewed.

If US debt is now 10 trillion and Obama’s administration borrows 2 billion more in 2009, that makes the debt look like 12 trillion.

Yet according to excerpts a USA Today article, “Taxpayers on the hook for $59 trillion” by Dennis Cauchon.  The federal government’s debt is five times worse if corporate-style accounting standards are used.

The article says:  “Modern accounting requires that corporations, state governments and local governments count expenses immediately when a transaction occurs, even if the payment will be made later.

“The federal government does not follow the rule, so promises for Social Security and Medicare don’t show up when the government reports its financial condition.

“Bottom line: Taxpayers are now on the hook for a record $59.1 trillion in liabilities, a 2.3% increase from 2006. That amount is equal to $516,348 for every U.S. household.”

With such fundamentals, it is hard to be anything but pessimistic about the US dollar.  This is why, with the information I am about to share, you can reap profits again and again.

Take for example the financial power that comes from understanding the value of the US dollar to the Japanese yen.

Despite the crash of 2008, long term investors in the US stock market have done well.  January  1, 1982, the Dow Jones Industrial Average was 896.  January 1, 2009 it was  8,515.  That is a rise of 9.5 times in 26 years or about 36% (9% compounded) return a year…even after the 2008 crash!   $10,000 invested has grown to $95,000.

So, it seems.

Now, let’s look at the yen.  During the first half of the 1980s, the yen failed to rise in value even though current account surpluses returned and grew quickly. From ¥221 in 1981, the average value of the yen actually dropped to ¥239 in 1985.

When the Dow was 896, a US dollar bought 230 yen.

Today, 26 years later, January 1, 2009, a dollar buys about 90 yen. Imagine this. 2,300,000 yen purchased $10,000 in 1982 which grew to $95,000.   The $95,000 buys 8,550,000 yen.

The excellent Dow profit looks downright lousy, an increase of only 3.7 times in 26 years.  61% percent of all the Dow profit in the last 26 years has been lost due to US dollar erosion.  And the dollar’s fall will grow worse!

This is powerful profit knowledge…IF…you know what to.

US government debt has passed the short term point of no return.  Three bold steps were needed two decades ago, a reduction of entitlement costs (Social Security, Medicare, Medicaid, etc.), reduced defense spending and a reduction of the existing debt.  The government moved in the opposite direction… in all three cases.

There are many ill omens as our new government still does not take this incredible problem seriously. The proposed new plans might cost trillions more. These are trillions that the US government does not have.  Nor are we likely to see any increases in tax revenues during the current economic downturn.

America must borrow to spend and the deeper the US debt, the greater the dollar’s fall.

The government’s refusal to create a plan to balance the budget shows no solution is in sight.  It is menacing to see how the government plans to spend more now.

The US Treasury only has 33 months left before a tsunami of expense rushes over  the government.   By the time (if ever) the government finally recognizes this problem, for most investors, it will be too late.  If it takes a terrible crash of the US dollar to finally wake the government, it could wipe out millions of families’ saving, capital and spending power in the process.

All these facts are omens of ill winds ahead.  There are already tens of millions of Americans who have been financially wiped out….but the worst has not even begun.

We will see hyper inflation, massive unemployment and a free fall of the greenback that will affect currencies and investing everywhere.  This crash will make the current downturn…even the last great 1930s depression look like a Sunday picnic.

You do not have to be alarmed because the resolution which I am about to share is so simple, anyone can act and can prepare for this disaster without inconvenience or trouble.

You do not have to participate in the great fall of the US dollar.  All you have to do is learn how to be a multi currency investor.

The time for international investing is right.  Global diversification has already created fortunes for a few sophisticated investors because this obvious problem of the US government debt actually makes it easier to make money, if you know how to invest abroad.

Let me explain why big problems can mean big profits, then let me explain why no one has been around to tell you how to invest abroad but why there is not a solution that can make multi currency investing totally easy for you.

First, let’s look at the big problem. It’s a sad reality that US government debt has actually been ruining US investments for over 40 years.  The big bankruptcy that’s coming is just the end.  The bankruptcy really started in 1971 and has been building steadily since.

Until 1971 the US dollar was the kingpin currency for the world.  Then it was “temporarily” suspended from the gold standard.  This “temporary” move, like our debt today, was ignored by the government. Since that time (the dollar was never reinstated to the gold standard), the buck has fallen and fallen. Though you may have read about a strong dollar lately, the reality of the greenback’s slide continues.

Don’t get me wrong, the dollar has not dropped every day.  It has enjoyed some short term rises over the past 37 years, but to see the real picture all you have to do is look at the dollar’s value in any major currency in 1971 and then look at its value today.

In 1972 for example the US $ was worth over 4.25 Swiss francs, 4.00 German marks and nearly 400 Japanese yen.  Today, as you can see from the yahoo.the same dollar has dropped as low as 1 dollar per Swiss franc, .65 euro (related to the German mark) and only 90 yen.  In other words, if you had $10,000 in 1971, it was worth about 4,000,000 yen.  If you invested those dollars safely clear back in the 1970s and earned a 4% compound return, by 2008 those dollars were worth over $40,000.  You might well feel the investment had gone well.

The sad truth is those $40,000 are now worth only 3,800,000 yen!  All US dollar investments have lost over 4% compounded each and every year for the past 22 years.  Your 4% return was a real loss by hard currency standards, but this loss has been hidden and the real facts about your wealth have been kept from you.

On the other hand, had you invested in Japan, Switzerland, Germany or most other major currencies, your investment would have tripled or quadrupled in dollar terms even before you started making profits!

There is another fact that is even more spectacular.  Most stock and bond markets abroad (in addition to the currency gains) have been better than in the US.

For example had you invested in the Dow in 1978, the ow was standing at 865. Today, mid December 2008 is is 8,500.  $10,000 invested in the Dow in 1978 would have grown to about $100,000…even after the global stock market crash.

Not bad?

If instead you had invested $10,000 in an investment as simple as the Templeton World Fund which started in 1978 and invests in stock markets al over the world, the $10,000…after the 2008 global crash…is still worth $352,080.

Look at the performance of bond markets as well.

Right now you receive 1.96% on the U.S. Treasury bonds that mature 2013.

Yet good quality Danish bonds of about the same term pay 4.53%  in Danish kroner.

Norwegian kroner bonds pay 3.70%
Swedish government bonds pay 2.74%
British Treasury bonds pay 3.18%
Mexican Government US dollar bonds 5.10%
Peru Government US dollar bonds 7.57%
South African bonds in euro pay 8.61%
Indonesian bonds in US dollars pay 11.57%
Hungarian Government Florin bonds 12.35%
Brazilian Government Real bonds 14.78%

Plus all of the currencies above (though depressed lately) have appreciated as much as 50% versus the dollar in recent years.

These statistics show how US government debt has invisibly, but relentlessly, destroyed the value of our investments in North America.  These statics come from my multi currency investment course, that can help you prosper even though the US dollar falls.

I’ll explain the course but first let me explain why, even though the US dollar has fallen so dramatically over the past 37 years, no one has been knocking on your door to tell you how to invest abroad.

It is the very weakness of the US dollar that has stopped North American banks, brokers and other financial institutions from telling you about the problem. These facts have been hidden from you because they have been afraid if US investors knew how bad the dollar has been that no one would deal with them.  They have, short and simple, been afraid of losing business.

Now let me tell you about this simple easy-to-use investment course called Multi Currency Investing  (MCI) and how you can have it on a no risk basis.

First, let me explain that the course is designed for anyone.  It is even for those who have never invested abroad, even if they are small investors with only a few thousand or a small amount to invest monthly.  MCI explains how investments can be made overseas for small amounts.  It even explains how to invest out of the US dollar right her in the US and never leave your home of office.

However, MCI also gives sophisticated information that you might not know even if you have been investing all over the world.  Some of my readers and course delegates are billionaires who own dozens of companies and invest all over the world!

Sleepy, Safe Portfolios Can Earn Over 100% Per Year

Multi currency investing does not require any fast trading techniques.  Multi currency portfolios are normally slow and sleepy investments…not currency contracts or futures speculations.  Most multi currency positions are aimed with a five year horizon…pretty sleepy compared to people who trade currencies (an entirely different and far riskier technique). For most of us, slow and sleepy mean SAFE!

Yet multi currency portfolios can be really profitable as well.

How sleepy and how safe?

Let’s look first at sleepy.

In 2006 we created an Asian multi currency portfolio consisting of just five award winning mutual funds.

We did not touch the entire portfolio for an entire year. Then after one year we made just five changes…dropping two mutual funds and adding three other mutual funds. Then we did not make another single change. That’s pretty sleepy, choosing a handful of mutual funds and making only five changes in two years.

Okay. Here is the big question. How profitable?

In the first year (2006) this portfolio rose 114.16%. Then we made the five changes mentioned (two funds dropped and three added). In 2007 this portfolio rose 122.62%.  2008 was a disaster year and the portfolio lost 79%. But when your portfolio is up over 236% in two years, it takes a lot of disaster to lose…so this portfolio is well ahead even after the great 2008 crash.

Year one up 114%
Year two up 122%
Year three down 79%

Total in three years…up 157% or an average of over 52% per annum for three years…even after the 2008 crash.

May I hasten to add that the portfolios published in the portfolio are not published recommendations.  These are portfolios we study to learn why they rise or fall. More on this in a moment.

First let’s examine safety.  How safe?

The portfolios were chosen with the help of one of the world’s safest banks and the mutual funds were all subsidiaries of that bank.

That safe bank is a Danish bank. That’s good because in recent years Denmark has been rated by Standard & Poor’s as one of the safest country in the world in which to bank.

The bank is Jyske Bank…well established 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 currency traders in the world. The Danes have always been big 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 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.

These are common sense bankers. They had minimal sub prime exposure when that scandal broke. Jyske had zero Madoff exposure.

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…including US investors through their Jyske Global Asset Management.

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.   Jyske Bank assists by providing information that only a huge global bank trading 50 billion dollars of currencies and contracts a day (as Jyske does) can afford.   My symbiotic relationship with Jyske allows me to combine my experience with this bank’s incredible knowledge, real time information capability and expertise so you learn in a most practical way from some of the greatest multi currency experts in the world.

Now let’s look at both the up and down side of these high performing portfolios and how they work?

The goal of MCI is not to recommend investments for you, but to help you learn how to be a multi currency investor so you are better at directing your broker,  banker or investment advisor.

To accomplish this goal, the course provides three levels of education.

Part one of MCI is an extensive beginner’s guide to developing multi currency portfolios.  This entire primer is sent to you when you begin the course.  This portion of the course takes nothing for granted and walks you step by step through every part of international investing.

Take, one of the primer lessons as an example. It explains theory on some of the reasons why currencies move, but taking nothing for granted it also explains what the currencies of the world are and gives their history, so before you learn why the euro doubled versus the US dollar, you get to know these currencies and the their underlying fundamentals.

Another lesson in the primer gives case studies that are real examples of how the theory has been put to use in the past.  This lesson covers theory on why currencies move and how to spot the hot currencies months ahead of time. Then it gets down to brass tacks and explains how to open bank accounts overseas to hold the hot currencies…or even how to invest abroad through US banks and brokers.

Everything about how to bank abroad and hold the currencies is covered.  How to open accounts, how to send money abroad all the laws relating to overseas accounts, taxation, etc. plus the most important part, which is how to spend the money when you need it from overseas accounts.

Then the course gives a real, live case study that show how the theory works in reality. It tells about an investor who opened an account, got a  checkbook and credit card and how he used them both and held several currencies for higher returns that he gained with US dollars.

Finally you also get valuable contacts in the course.  These are vitally important. There are names and addresses of institutions and source of information you can use to turn your knowledge into action!

Here is the syllabus of the primer you will receive in MCI.

* Why Currencies Move.

* How to Bank Abroad.

* How to Buy Stocks and Bonds Overseas.

* How to Choose Currencies.

* Why Currencies Rise and Fall.

* How to Borrow Low and Deposit High.

* How to Buy Mutual Funds That Invest Abroad.

* ETFS. Why They are Often Better Than Managed Funds.

* How to Find Bonds that are Like and Often Better than Shares

* How and When to Capture Recoveries.

* Global Portfolio Diversification Theory.

* When Leveraged Low Risk Portfolios Are Safer and Perform Better Than High Risk Portfolios.

The primer deals with the past…but as we so vividly saw in 2008…markets are always in a state of change so…

Part two studies global markets in real time.  Your MCI course comes in regular emailed lessons usually emailed every two or three days.  Though at times you’ll get a lesson every day for many days in a row. Other times nothing will come for a week because these lessons are based on real time market activity.  MCI studies currencies and global investment markets and reports to you on their value and why that value occurs.

This portion of the course studies the current performance of portfolios that Jyske bank creates…plus examines the portfolios of several globally diversified mutual funds….for both small and large investors.   This portion of your course gives you an overall, up-to-date understanding of market and currency moves.

Part three of MCI shares my portfolio and where I invest.  This is an unusual feature…so let me explain why MCI regularly reviews my personal investment portfolio and how this can be of value to your investing.

First this is honest.nd we have fund that for us…honesty pays.

As we recently learned from the Madoff scam…investors must always be on guard.  This is our 41st year of educating about international investing.  This is all we do and our great long term success has been based on placing our readers ahead of all other considerations.   We do not sell investments. We do not give individual advice.  We have no hidden agendas that could lead investments astray.

We want you to see and know what we are doing based on our own advice so you can trust the data we share.  Otherwise the lessons do little good.  You the reader are the only way we earn.  We do not receive commissions…or any form of remuneration for selling shares or accounts etc.   We hope to work with you for life…rather than make some type of quick killing by advising you to invest in something we d not really believe in.

We feel that by letting you know how we actually invest helps accomplish this long term bond.

This is vital because we often invest exactly the opposite of the market.

Take for example the five 2007 portfolios we studied in MCI:

Portfolios             12 Month Rise
Swiss Samba           53.32%
Emerging Mkt        122.62%
Dollar Short             48.19%
Dollar Neutral          38.67%
Green                    266.30%

This is performance you will rarely see duplicated…anywhere…at any time.

Yet these were model portfolios…not meant to be yours….not meant to be mine.  I do not invest in these portfolios because…they do not suit my lifestyle and my unique personal financial needs.  One of the key lessons that MCI focuses on…again and again is “there is no perfect portfolio for you”… except one designed uniquely for you.

My portfolio is not perfect for you either…yet seeing “how” I adapt my portfolio to our virtual real time portfolio reviews can help you learn how to adapt your personal portfolio  as well.

So even though our study portfolios were enjoying world class performance, exploding upwards like rockets,  I was reducing leverage and getting out of markets.  On August 17, 2007…well before the 2008 collapse began I posted the note in an MCI lesson on why I was getting out of leverage and equities.

“Such historical measures are so inexact that we cannot predict just from them what will happen in the short term. The numbers are close enough that we could be entering the fourth sub cycle down (similar to 1976 to 1978). If so expect a sustained drop in markets for two to three years.”

Even though the portfolios MCI studied continued to rise, I sent another danger lesson to the course on September 21, 2007. “Equity markets dropped again violently last month. Now these markets have recovered again. Yet this may be a last gasp party.”

I began increasingly concerned for myself and on October 14 sent this lesson  “Periods of high performance are followed by times of low returns. We never know for sure when an upwards cycle will stall. Fundamentals look good for a bright 2008 in emerging and equity markets, but this can change quickly so to give our readers a better perspective, this year we are reducing leverage and adding a sixth portfolio with no leverage to study”.

The Oct. 15, 2007 lesson said: “Okay it’s time to turn the burner down and offered a “leverage dwindling” warning.  On Oct. 26 I explained to readers that I had eliminated even my modest leverage and wrote: “There is a final reason I liquidated my leverage now…to lead by example. Too many readers are thinking that the dollar short or dollar neutral Portfolios are only up 38% or 48% for the year. When one thinks that way they could be headed for trouble, so I hope investors will follow my lead and take greater care with their leverage.”

I did not stop. The November 8, 2007 was a Black Friday interim message that warned again about all the points above and more.

This created one plain and simple fact.   The 2008 stock market crash drop did not surprise those enrolled in MCI.

Right now at the end of 2008, I am adding leveraged bonds to my portfolio. Here is an excerpt from the December 28, 2008 MCI lesson:

There are many similarities between the US economy and the US government’s response to the downturn with Japan’s slowdown in the early 1990s and the Japanese  government’s response then.   Readers made fortunes borrowing yen as they may make fortunes borrowing dollars now.

Watch especially now for ways to borrow dollars at low rates for investing in high yield, short term dollar bonds like:

Currency                      Bond                               Yield

USD    9.125   19/05/2009    SOUTH AFRICA     6.04%

USD    10.25   17/06/2013     BRAZIL REP OF     6.24%

USD     8.25     31/03/2010     RUSSIA                   5.93%

This type of bond has no currecny risk if leveraged in US dollars.  Your only major risk is default.

Bonds denominated in euro are even more to my liking because they pay higher interest and have a potential forex gain if the dollar drops again verus the euro.

Yet our lessons are objective and provide warnings of risk as well.  This type of leveraged investment also has a chance of loss if the dollar rises verus the euro. Do not borrow more than you can afford to lose!

There is even more yield potential in bonds denominated in euro.

EUR      5.75   02/07/2010     ROMANIA             10.81%

EUR    8.5     24/09/2012     BRAZIL REP OF      7.49%

EUR    5.25     16/05/2013     SOUTH AFRICA     8.61%

These three bonds yield an average 8.97%. They represent a diversification into Europe, Latin America and Africa.   If you invest $100,000 and also invest another borrowed $100,000 at 4%, your total annual return is 13.94%  before  any forex gains or loss.

MCI provides you with bank contacts who  lend in many currencies often at very low rates, to leverage investments.

Multi Currency Investing helps you enjoy the ultimate form of financial security.

From the very first lesson, you expand your knowledge about investing abroad.  You gain contacts that can bring you solid profits and safety when most investors are being silently robbed blind by the steady deterioration of the US economy and the US dollar.

I want to give my readers an answer to relieve the anxiety they faced from this awesome dollar problem that I don’t think is going to get solved.

I originally started this course just for my readers.  Tens of thousands enrolled and we have shared how to invest globally for deades.

Now due to the 2008 global economic crash, I am rewriting the entire course.  This
crash has changed everything and I would like to share how to profit in 2009 with you.

Everyone needs to know how to have multi currency diversification. But in case this course does not help you, we provide a 30 day “completely satisfied or your money back” guarantee that we have offered our hundreds of thousands of readers for more than 20 years.

Our Multi Currency Educational Service is normally a mere $249 for a very long and educational year!

Won’t you share this exciting world of wealth accumulation with us and our readers around the world?

Subscribe here or see below how to join us in Ecuador or North Carolina and receive this course FREE.

Gary Scott

P.S.   As previously mentioned, the portfolios we tracked in 2007 had the following results:

Portfolios             12 Month Rise
Swiss Samba           53.32%
Emerging Mkt        122.62%
Dollar Short             48.19%
Dollar Neutral          38.67%
Green                    266.30%

You can imagine performance like this attracted quite a bit of attention…and it did.

However these high returns were not the important benefit our readers gained.

MCI does not recommend nor manage portfolios.  We did not suggest that readers invest in these portfolios. We created and tracked them because they were educational.

The courses is designed so you can work with your own investment manager to create your own multi currency portfolio that suits your own special, individual needs.  The multi currency investment course is designed to help you learn how to manage your manager… nothing more.  Yet this is a lot because Jyske Bank can provide a stable and safe institution for those who wish to employ a multi currency strategy.

The course will help you guide  any investment adviser or investment manager who understands how to invest in more than one currency.

The course also helps you manage risk. The incredible portfolio performance above was achieved because the portfolios were leveraged using a tactic we call a multi currency sandwich. Investors borrow low and invest in yielding or growth portfolios. The portfolios used loans in Japanese yen and Swiss francs to magnify profits in good times.

Plus we learned how leverage pushes losses faster in bad times and that leverage can help recovery at the end of bad times as well.

Here is an interesting multi currency fact that provides us with a valuable investing idea.   In 2009 we are tracking three Jyske portfolios.

Low Risk Multi Currency Portfolio invests in:  Fixed Income 70%,  Equities 20%,  Alternatives 5%,  Cash 5%.

Medium Risk Multi Currency Portfolio invests in: Fixed Income, 40%,  Equities 50%,  Alternatives 5%, Cash 5%.

High Risk Multi Currency Portfolio invests in:  Fixed Income  10%, Equities 80%,  Alternatives 5%,  Cash 5%.

Our studies to date have shown that the low risk portfolio, with some leverage, can be safer and perform better than a non leveraged high risk portfolio.

MCI continually reviews these portfolios so we can earn real time from their performance.

Subscribe here or see below how to join us in Ecuador or North Carolina and receive this course FREE.

Here is what a few others from around the world have said about our services and reports on international investing.

“ Gary , I am a long time subscriber in various media, and while cleaning out my files today I found some old ‘Gary A. Scotts World Reports’. In particular, the April 1988 issue provided the info that made me over a million dollars. Just wanted to say a belated ‘thank you’ and please continue the excellent work. Warm regards,”
From an Unknown Reader

“Dear Gary, I would like to give thanks to you for introducing me to Jyske Bank two years ago.

“I have been a long-time client of Merrill Lynch, but am in the process of re-evaluating my relationship with the largest brokerage company in the world. My problem is that when I compare Merrill to Jyske, Jyske outshines Merrill (or other major U.S. brokerage firms) in most categories as follows:

“1) Even though Jyske is much smaller, it has a much more global perspective which is critical in an evermore global investment environment.

“2) In order to maximize their own individual revenue, the brokers at Merrill prefer to outsource the day-to-day management of their accounts to various fund managers and hence, ‘manage the managers’. In contrast, I can call my Account Manager at Jyske and he can discuss every aspect of my account in detail with me.

“3) I attribute this difference in #2 to the fact that Jyske’s employees are not compensation driven, but instead are focused on satisfying their customers. That is why Jyske’s clients stay with the Bank on average for 12 years, which is phenomenal by Wall Street standards.

“4) Jyske’s security is far more stringent than that of Merrill’s. In addition to the standard account code and password, to pass through Jyske’s security one has to enter a Key Card number and also a randomly-generated 4-digit number from said Key Card.

“5) Having an account offshore allows me to sleep better given the anxious times we live in. Since I report the existence of the account and pay all taxes due, I am fully compliant with the law. However, such an account gives me and my family a ‘financial life boat’ should events in our own country ever get out of hand.

“As Dorothy Parker once said, ‘You can lead a horse to water, but you can’t make them THINK’. Jyske is a thinking person’s bank. My only complaint is the time zone difference since I live in California . However, since I am an early riser and my Account Manager is very responsive to my emails, this problem is very small relative to the HUGE benefits.

“Again, many thanks for introducing me to Jyske Bank. Given the ‘dumbing down’ that occurs in the popular media today, your ezine and its recommendations are ever more important. Please continue your good work to enlighten your readership.  Warm regards,”
C.M. CALIFORNIA Businessman

“I was so overwhelmed with information I received I had to spend several days reading, sorting and filing it! I have decided to move my modest investment capital overseas.”
B.W. MONTREAL CANADA Professor

“Send me your report on safe banks lending at 7% for redeposit at 13% or more.” B.V. ADDIS ABADA ETHIOPIA Economic Commission United Nations

“A number of new and significant contacts were made. It would be extremely helpful if you could supply us with WORLD REPORTS.” I.M. TORONTO , CANADA Banker

“You are as good as your word which is rare these days. I look forward to attending one of your seminars.” C.K. GENEVA , SWITZERLAND Banker

“In spite of my marketing experience, your information really got me going!” M. C. LONDON, ENGLAND Marketing Consultant

“Thanks for the three reports. They are very interesting and should find many readers here in Japan .” M.A. Tokyo , JAPAN Computer Programmer

“I would like to say how much I enjoyed the information I received.” A.B. Providenciales TURKS & CAICOS Accountant

“First let me say how much we enjoyed the investment seminar.” W.J. SAUDI ARABIA Oil Engineer

“Once again thanks for all the great information.” G.K. PERTH , AUSTRALIA Insurance Executive

“Your letter of November 8th warned me to beware of the market just a week before the 120 point crash on November 15th!” T.G. N. CAROLINA Pilot”

Yet global economics 2008 have changed everything.   So I am now offering this course to a wider audience who have indicated their concern with the state of the US economy.

Before I make this offer to a wider audience however, I want to make a special December offer to you.

This course has been and is normally offered for $249.

To begin, I am reducing that price to $175…a savings of $74…yet there is much more because you can enjoy this course FREE.

You can enroll here…now and save $74

Here is how to receive this course FREE.

In 2009 I will work with Jyske Bank to conduct four  courses  about how to be a multi currency investor.

Two of these courses will be conducted in Ecuador

February 13 -15 and Nov. 6 to 8, 2009

The other two courses will  be conducted in North Carolina.

July 24-26 and  Oct. 9-11, 2009

Simply sign up for any of the four courses above and you receive the Multi Currency Course in 2009 FREE.

Multi Currency Banks


Multi currency banks are important because the current global financial bailout creates predictable profit opportunities created by multi currency inflation.

Multi currency diversification and investing is needed to take advantage of this opportunity. Investors need multi currency banks or multi currency investment advisers to attain this type of multi currency position.

Yet getting good advisers at a price we can afford has become increasingly difficult. The same governments that create the need for multi currency diversification also hinder our ability to spread wealth beyond their control.

There are numerous reasons why governments do this. Suffice it to say here…this is fact.

Governments in the past used foreign exchange control. Globalization stopped that. Too much money flows across borders that governments cannot control.

Instead governments control their citizen’s wealth in another way now…by regulating banks abroad.

A Swiss bank for example has to comply with US, British, German, Canadian Australian laws, etc. if they accept business from citizens of these countries.

The US is perhaps the most aggressive at imposing this extra territorial jurisdiction…but by know means the only government.

This has been a creeping encroachment on ownership of wealth that has evolved over decades.

One message at this site said:

“Some years ago I wrote about the insidious tactics that the US and other governments have used to erode financial privacy and personal liberty and pointed out that the problem is that the government does not attack the individual but puts the pressure on the overseas financial institutions. The current additional move by the US government to collect tax is just one more small step.”

That message was posted in July 2000. I have been writing about these losses of our financial liberty for decades. This creeping loss of financial freedom is nothing new!

Recently US legal intervention abroad has become so intense, that many good banks will no longer accept US clients. See recent news about this here.

However, smart multi currency investors can still invest abroad if they know what to do. Since I write from experience, as much as I can, rather than research, let’s share what I do.

I mostly use Jyske Bank and London brokers, Smith Williamson, so let’s see what they can do for US and other investors. Then we will look at some other options as well.

Years ago I used 14 banks and brokers spread around the world. This created a lot of confusion, hassle and cost me in banking fees. I began to study the fees and service of each of those banks to whittle the numbers down.

Eventually I eliminated all but these two firms. They gave me the best service I required at what I considered the most reasonable fees.

We’ll look at Smith Williamson and the other options in upcoming messages.

Here we focus on Jyske. I have the bulk of my portfolio there.

First, let’s address the issue of safety. 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 four 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.

Bank Safety Point #4: Finally when you invest abroad, most assets you hold are yours, kept in a depository account. These assets would not be lost even if a bank failed.

So what can Jyske Bank do for you?

Here we must divide services…just a bit…between US residents and citizens versus the rest of the world.

Overseas banks,who are not registered with the SEC cannot provide investment advice or buy certain investments for US clients without potentially incurring the wrath of a number of US regulatory agencies.

Jyske overcame this concern by creating a wholly owned, but independent, subsidiary, Jyske Global Asset Management (JGAM) that is registered with the SEC.

Essentially JGAM can do almost the same for US investors that  Jyske Bank Private Bank (JBPB) can do for non US clients. There are a couple of quirks in this which we will view in a moment.

First, overall, here is what both JGAM and JBPB  can do for non US investors.

They can:

#1: Offer savings and current accounts in dozens of currencies.
#2: Buy and sell seasoned bonds in dozens of currencies.
#3: Buys and sell shares in dozens of exchanges around the world.
#4: Buy and sell commodities around the world.
#5: Trade in numerous guaranteed investments.
#6: Lend in dozens of currencies to hedge or leverage investments.
#7: Provide managed or advisory only accounts.

There are some differences between the US and overseas service.

Here is what Jyske Bank Private Banking (JBPB) provides to non US investors.

Non US Clients can open accounts with U$75,000 or more.

Clients with portfolios of less than $150,000 are serviced by the (JBPB) Investment Service Team and are mainly invested in currency accounts and mutual funds.  Clients are assigned a personal investment adviser, who tailors the mutual fund portfolio to match the clients wishes, needs and requirements.

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 smal 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 for investors who want managed services with US$75,000 to US$350,000. 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.   These strategies are offered in EUR, USD, GBP, DKK and SEK.

Investors, who do not want managed services, and have accounts of US$150,000 or more, can wish to engage in an active have an active dialogue with their adviser and be very involved in the decision-making process. based on the clients 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 what JGAM can do for US investors.

JGAM offers its Managed Accounts (Discretionary Portfolio Management) services to U.S. citizens for as little as $50,000. Each investor has a personal portfolio manager who reviews the personal needs, goals, and risk tolerances and helps create an investment strategy.

Then the portfolio manager writes an agreement outlining how you would like your investments managed. After that, the manager fully manages the portfolio and can act independently within the terms established with the investor.

Once again this managed service is not available for non US investors.

Some investors (like me) want to make their own investment decisions. They can choose an advisory account.

Here is a quirk though. Due to investment regulations, JGAM can buy US advisory clients currencies, commodities, seasoned bonds and US registered securities. They cannot buy overseas non US registered shares.

This imposes a small limitation for advisory investors who want to buy overseas shares that are not traded on a US exchange.

However, since there are thousands of ADRs traded on the New York and American stock exchanges as well as NASDAQ this is not a great limitation.

For example, in the Green Portfolio we track there are five shares. Three of them, Vestas Wind Systems, Kurita Water purification and Seche Environment can be purchased as ADRS.

The codes are: Vestas: VWDRTY
Seche: SECVY
Kurita: KTWTY

There are thousands of these ADRS so the universe is not small.

We just sent out Multi Currency courses subscribers three BUY NOW ADRs to consider now. You can learn about these ADRs when you subscribe to our multi currency course.

Subscribe here.

Here are the quirks.

Jyske managers can buy overseas shares for US investors who have a managed account. If a US investor has an advisory account then ADRs must be used.

Non US investors can buy overseas shares but cannot have a managed account unless they have $250,000 minimum (versus $50,000 minimum for US investors).

Weird? Why?

Jyske has spent years and millions in legal fees to comply with the various regulations. Whoever thought government regulations would turn out to be anything but weird? This is how the rules work and keep in mind there are dual government regulations involved. Jyske has to comply with both US, Danish and in some cases a third set of requirements.

Minimums

Inflation creates a problem for banks…a higher cost of providing good staff. This has forced many banks to raise minimum accounts. Jyske has taken a clever approach and set up graduated levels of service so they can still afford to serve even small investors.

This means that US investors can start an advisory account for as little as $25,000.  Non US investors require $75,000.

Few, if any, overseas investment banks have minimums lower than this. Recently one banker was explaining that due diligence regulations now require five hours of account manager time just to open a simple account.

Managed accounts for US investors requires  a $50,000 minimum. ($250,000 minimum for non US investors). ($75,000 for non US investors).

Investors who want riskier borrow low – deposit high leverage to create multi currency sandwiches need a minimum of $100,000 invested in an accounts so they can get sufficient diversification.

US accounts of $200,000 receive a premium-level service and accounts exceeding $1 million, receive the highest level of personalized service with the added ability to include hedge funds if desired.

For more details on how to buy multi currency investments at Jyske Bank and Jyske Global Asset Management contact:

US investors contact Thomas Fischer at fischer@jgam.com

Non US investors contact Rene Mathys at mathys@jbpb.dk

Protecting purchasing power from inflation will be the concern of most investors in the immediate years ahead. Multi currency diversification will be required. Multi currency banks are important because the global financial bailout creates predictable profit opportunities through multi currency diversification.

Gary

Merri and I love our farm in North Carolina…the rich green bursting in spring.

multi-currency-spring

Lush ripeness in the summer.

Fwd: multi-currency-summer

And colors that burst forth in fall.

multi-currency-autumn

But yesterday the winds whispered in this snow this to me…

multi-currency-snow

“Go South”…”Go South”…so soon…

These are the places I’ll be.

multi-currency-snow

In Ecuador in the mountains…in the sun and on the sea.

multi-currency-beach

Join us in the sun at one of our courses in Cotacachi Ecuador or on the beach this winter.

Learn more about economic safety this November. Join Merri, me, Steve, Kjetil Haugan or Thor Anderson of Vistazul and Peter Vestbirk Laub of Jyske Global Asset Management in Cotacachi Ecuador. We’ll review economic conditions, Ecuador real estate, my entire portfolio and investing and business ideas for the months ahead.

Nov 7-9 2008 International Investing and Business Made EZ Ecuador
https://www.garyascott.com/catalog/international-business-made-ez-ecuador

Feb. 13-15 International Business & Investing Made EZ

See the wonderful balconies in the Primavera condos at for sale at $46,000 in Cotacachi.

multi-currency-Ecuador-condo-interior

Nov 10-11 Imbabura Real Estate tour
https://www.garyascott.com/catalog/ecuador-real-estat

Feb. 16-17 Imbabura Real Estate Tour

Then travel to the coast. Enjoy the Vistazul swimming pool on Ecuador’s Pacific.

Picture 9

November 12-15, 2008 Ecuador Coastal Real Estate Tour; Quito Real Estate Tour
https://www.garyascott.com/catalog/ecuador-coastal-real-estate-tour

See discounts for two or more of these courses and tours

Enjoy Ecuador’s music.

Ecuador-music

Enjoy flowers and beauty.

Ecuador-flowers

Enjoy the friendly staff at our hotel.

international-club

Better still join us all year in Ecuador! See our schedule of 26 courses, tours, mingos and expeditions we’ll conduct in 2009.

Multi Currency Investing Ahead


Multi currency investments fight inflation and can enhance wealth but require a long view .

There is a screech owl that lives in our barn and the way I watch him is sort of how I invest.

Can you see the owl?

To begin, an investing idea starts with a speck of thought…seeing the whole picture, but without many details.

Then it’s time to connect dots to see a closer picture.

Then we begin gathering information so the focus is closer…

until we can finally zoom in.

At this stage when we have zeroed in, we can act.

One big idea I have been tracking and investing in, is water. Now I am zeroing in on a new sub interest…water desalination.

An article sent by a reader entitled “Australia Turns to Desalination Amid Water Shortage” by Michael Sullivan first piqued my interest.

The article told how the Kwinana Desalination Plant, near Perth, produces 40 million gallons of drinking water per day from the Indian Ocean.

The article says:

Perth, with a population of about 1.7 million, is growing 3 percent a year — about 750 families a week move to the city, says Gary Crisp of the Western Australia Water Corp.

The Kwinana Desalination Plant south of the city opened two months ago. The facility, the first of its kind in Australia, covers just a few acres in an industrial park next to the ocean.

The water is sucked in through a pipe about 650 feet offshore in Cockburn Sound, at a rate of about 0.1 meters per second, says project manager Simon McKay.

That is slow enough to let the fish escape, but fast enough to provide nearly 40 million gallons of drinking water each day — roughly 20 percent of Perth’s daily consumption. That makes the plant the single largest source of water for the city.

McKay says it doesn’t take very long for the seawater to be ready for the tap — about a half-hour from the time it comes out of the ocean until it’s processed and distributed.

Desalination plants have been around in places like the Middle East for decades. But they’ve always been expensive to build and expensive to run. New technology has made them cheaper and more efficient, but they still consume a large amount of energy.

Environmentalists in Perth balked at the idea of using coal-fired plants to provide power for the one here, forcing the Water Corp. to find a non-polluting, renewable alternative. It found that alternative — wind energy — near the town of Cervantes, a three-hour drive north of Perth.

The Emu Downs Wind Farm houses 48 wind turbines, each as high as a 15-story building.

Kerry Roberts, the facility’s general manager, says Emu Downs is among the top 10 or 20 sites for this type of energy alternative in Australia.

“If you look at the combined output of the wind farm at maximum wind speeds — 24 to 28 miles per hour — you’re looking at an output of close to 80 megawatts,” Roberts explains. That’s enough power to run Perth’s desalination plant, 160 miles to the south.

This successful marriage of renewable technology and necessity has Crisp, of the Western Australia Water Corp., thinking big: “I predict that desalination will account for at least half of Perth’s water in the next 30 years.”

Other water-stressed seaside cities in Australia are taking a serious look at desalination, as traditional water sources dry up because of lack of rain. Sydney, on Australia’s southeast coast, is expected to commission a plant even larger than Perth’s in the next few months.

Nonetheless, the desalination boom extends far beyond Australia’s shores. McKay — the man in charge of getting Perth’s plant running — will soon be off to Muscat, Oman, to build another. His company’s order book is filling up quickly, he says, and he doesn’t expect that to change in his lifetime. Neither does Crisp.

“The world is going reverse osmosis,” he says, naming projects proposed from California to Spain.

Looking around, I found that one of the largest desalination plants is not far from where I lived (Naples) for years, Tampa Florida. The Tampa Bay Seawater Desalination facility is an integral part of the Tampa Bay region’s drinking water supply. This is claimed to be a drought-proof, alternative water supply that provides up to 25 million gallons per day of drinking water to the region.

There are large desalination projects underway in California as well. However a look at the top 50 desalination projects show that the majority of them are in the Middle East.

Desalination is a sector that is bound to grow. It is estimated that 2.8 billion people live in areas of high water stress and this number is expected to increase by 50% over the next 20 years.

Areas of greatest concern include India, China and the Middle East.

There are two forms of desalination, evaporation and reverse osmosis (salt water forced through a filter under high pressure). There are already over 10,000 desalination plants going, mostly in the Middle East.

There are huge expenditures underway for desalination and wastewater purification and a number of companies are cashing in on this fact.

General Electric may be in the lead. It purchased Ionics, which builds desalination plants and makes filter membranes.

The French company Veolia Environnement (VE) is a major desalination plant and membrane supplier. This company earns over a third of its revenue from water businesses. The Japanese chemical company Nitto Denko (6988.T) is a large membrane supplier as is Dow Chemical (DOW), DuPont (DD), and GE.

Desalination plant builders include Italian Impreglio (IPGOF), South Korea’s Doosan Heavy Industries & Construction (DOHIF), French Suez (SZEZY), German Siemens (SI), and Spanish construction companies Acciona (ACXIF) and Abengoa (ABGOF).

We have written often about Singapore-listed Hyflux (HYFL) which makes filter membranes used to purify water and builds desalination plants. Hyflux is building a 500,000-cubic-meter per day desalination plant in Algeria, which, when completed in 2011, will be the world’s largest. Hyflux is also building 40 water treatment plants in China, where it gets 81% of its revenue. This share is in our Green portfolio as is Japan’s Kurita Water Industries (6370.T) which builds desalination plants and sells other water purification equipment, getting all of its 205 billion yen [$2 billion] in revenue from water-related businesses.

Canadian H2O Innovation (HEO) makes filtration membranes for wastewater treatment. Austria’s Christ Water Technology (CRSWF) sells desalination and other water purification equipment. American Water (AWK), is in New Jersey and ran the desalination plant in Tampa, which is the largest in the U.S. Energy Recovery in San Leandro, Calif. has also sold shares to investors.

Desalination plants are expensive and create local opposition for several reasons.

First, they produce a waste of highly concentrated salt water that can destroy the surrounding ocean habitat. Second they require a lot of energy which if created by coal, creates air pollution.

The third concern, perhaps the biggest is concern for the organisms that are killed by the process of withdrawing seawater. Tiny fish larvae and plankton are killed in process.

Te nature of our existence is such that we cannot eliminate our foot print entirely. very solution to environmental problems seems to create others. Let’s hope that technology will help make desalination one of humanity’s solutions…not problems. Since desalination can produce fresh water where there is none, and water is one of the few items in daily life that has no substitute, I be looking to invest in companies that provide fresh water with minimal impact on the environment.

Once I find such a  company,  will have identified one of many filters we should use when we review value.  We look for shares of companies that have a product or service in a wave of the future…such as desalination.

Then there are still many questions to answer to determine if the share offers a good value or not.  The questions include:

#1: Are the shares traded in a good value market?
#2: Does the share trade at fair Price to Earnings and Price to Cash Flow ratios?
#3: Does the share pay a good value dividend?
#4: Do the shares have a good value relative to their previous price?
#5: Does the company have rising earnings?
#6: Has the share price been rising?
#7: Is the company’s management good.

My feeling is that desalination will grow especially, that which is provided by wind energy, which is often available at the ocean and in semiarid parts of the world.  Shares in companies that answer yes to the questions above  will be interesting places to invest.

Until next message, good global investing to you.

Gary

Learn more about economic safety this November. Join Merri, me, Steve, Kjetil Haugan or Thor Anderson of Vistazul and Peter Conradsen of Jyske Global Asset Management in Cotacachi Ecuador. We’ll review economic conditions, Ecuador real estate, my entire portfolio and investing and business ideas for the months ahead.

Nov 7-9 2008 International Investing and Business Made EZ Ecuador
https://www.garyascott.com/catalog/international-business-made-ez-ecuador

See the wonderful balconies in the Primavera condos at for sale at $46,000 in Cotacachi.

multi-currency-Ecuador-condo-interior

Nov 10-11 Imbabura Real Estate tour
https://www.garyascott.com/catalog/ecuador-real-estat

Then travel to the coast. Enjoy the Vistazul swimming pool on Ecuador’s Pacific.

Picture 9

November 12-15, 2008 Ecuador Coastal Real Estate Tour; Quito Real Estate Tour
https://www.garyascott.com/catalog/ecuador-coastal-real-estate-tour

See discounts for two or more of these courses and tours

Multi Currency Breakdown


See the multi currency breakdown of my portfolio below.

Yesterday’s message on multi currency bank safety mentioned that multi currency safety is as important as bank safety. Investors who do not have multi currency diversification can end up holding assets in a safe bank but with a worthless currency.

This is one reason why I have such a large percentage of my portfolio in real estate…carried at cost.  All of our real estate has been purchased at prices well below even the current market. We spend a lot of time researching and searching and fixing because I love working with buildings and land. This is the most important investing lesson of all…do what you love…with those you like.

Really…I would much rather play at making land like this worth more than fiddling with stock charts.

Multi-currency-love

I receive many emails like this:

In this current and, I believe, temporary ‘strengthening’ of the US dollar, I am looking for ways to preserve my assets. I have a lot of faith in the Australian $. The 2 obvious benefits in my mind are, no capital gains if/when the US$ weakens, plus I earn interest on the Australian dollar account. I am also looking to buy silver and I am looking at coins and bullion, any suggestions in this arena would also be appreciated. Thank you,

To invest in just one currency is speculation. Nothing wrong with that, if you know and accept the consequences of speculating incorrectly.

To me, real estate is so much more interesting…a puzzle to be worked filled with mystery that beckons like our hidden horse barn tucked away in the woods…just waiting for value to be added.

multi-currency-barn

Gold is nice also…in the leaves here during the leaf change or the yellow metal…a bit for insurance …but more is speculation as well. Property however almost always has utility…like our home.

Holding several currencies for multi currency diversification is better for most.

As it happens I have not felt good about Australia’s currency as you will see in my multi currency breakdown below.  In my opinion, too many investors are betting too much on t based as a commodity currency.

Here are three trends I have been aiming my multi currency diversification towards.

#1: A return to value. Value investing has long been our philosophy. No reason to change now but other investors have been chasing the easy, fast bucks in rapid appreciation. Look for a shift towards owning high yielding, solid boring shares and bonds.

#2: Real estate. The real problem investors face is not an economic meltdown. Inflation is the genuine risk because governments have proven that they will flood markets with liquidity to avoid the meltdown. Inflation means that cement will cost more. So too will steel and labor. This means a rise in labor. I salivate when this fundamental meets a global real estate correction and am buying so much real estate I scare myself.

#3: A shift to underlying currency value. Where does an investor go when the euro is no longer trusted and the dollar is fundamentally weak but suddenly flexing muscles it should not have? My guess (and here I am overweighted ) is investors will lean towards currencies of small, economically sane, solid, established, politically sound countries…such as Norway, Sweden and Denmark. If so, these currencies will rise versus the euro and dollar. If I am wrong, they are least likely to fall.

All of this brings us to the point of this lesson. If you travel and visit currency and forex trading rooms of large established, successful trading operations, you’ll note that there are very few, old traders. Young men and young women do this job because experienced investors know that currency trading, rather than diversification requires immense capital, continual diligence, almost unlimited discipline and the ability to absorb many small losses before making a big hit. Plus traders must have the emotional stability to not let the big lead them astray! This is an error that has allowed one trader to break many a bank and major firms’ backs…..Coutts…AIG are two examples.

Here is my currency breakdown:

US & Ecuador Real Estate 50.12%

Europe EUR 16.05%

Denmark DKK 9.03%

United States US$ 8.46%

Britain GBP 4.01%

Sweden SEK 3.16%

Hungary HUF 2.37%

Turkey TRY 2.1%

Brazil BRL 1.28%

Canada CAD 1.18%

Norway NOK 1.15%

New Zealand NZD 1.09%

Australia AUD 0%

I am now readjusting this breakdown and will review why in my Multi Currency Course.

Learn how to subscribe here.

Gary

Join Merri, me and Jyske Global Asset Management at one of our courses. We review economic conditions, Ecuador real estate, my entire portfolio and our multi currency breakdown plus investing and business ideas for the months ahead.

International Investing and Business Made EZ Ecuador
https://www.garyascott.com/catalog/international-business-made-ez-ecuador

Stay on for the real estate tour Cotacachi and surrounding areas. We’ll see real estate for sale on this lake.

Ecuador-lake-sites

Plus we’ll see homes at San Miguel and Prima Vera II.

cotacachi-ecuador-san-miguel

Primavera II $46,000 condos.

multi-currency-Ecuador-condos

Nov 10-11 Cotacachi-Imbabura Real Estate tour
https://www.garyascott.com/catalog/ecuador-real-estate

Then travel to the coast and enjoy this Pacific surf that in November is warm!

Ecuador real estate for sale .

Salt or fresh water

Ecuador real estate for sale

November 12-15, 2008 Ecuador Coastal Real Estate Tour; Quito Real Estate Tour
https://www.garyascott.com/catalog/ecuador-coastal-real-estate-tour

See discounts for two or more of these courses and tours

Multi Currency Bank Safety


Multi currency bank safety has become a big concern in these troubled times. Trust has been eradicated from the system which leaves investors wondering more about risk.

Today is my 62nd birthday and I would like to thank you for sharing the day with me.

I will do almost anything to learn ways to help you. Here’s proof of the pudding.

Ecuador-Healing-Springs

This may look like I slipped and fell in the mud.

Actually I was trying out a little known volcanic pool near our home on Ecuador’s Pacific coast. The clay is said to purify and heal. Here I am in that pool with the natives!

Ecuador-healing-mud

Imagine this. I can now collect Social Security. I will, but this decision has nothing to do with retirement. See why and how my decision can help your wealth at Multi Currency Diversification.

Merri’s and my health, energy and vitality are good. We love what we do. Why not keep on going especially in these fun filled, challenging times of incredible opportunity?  But to take advantage of the opportunity we have to be sure we are not wiped out in the current volatility.

So let’s look at bank safety and since we share so much about Ecuador at this site, let’s look at Ecuador’s banks first.

Then we let’s look at the five safest banking countries in the world.

No bank can have a better credit rating than the country it is in!  Instead of looking at banks, Ecuador as a nation has a B3 Moody’s rating, CCC Fitch rating and B- from Standard & Poor’s. These ratings are somewhere between “highly speculative” and “substantial risk.” No matter how you cut it…the credit agencies are all saying “do not leave a lot of money laying around in Ecuador”. We just finished a lesson on what all the credit ratings mean in our multi currency course.

This is probably not an issue for most multi currency investors because they cannot even have an Ecuador bank account. We continually research to get answers to questions from our Ecuador Living subscribers.

One subscriber recently asked if non residents can open Ecuadorian bank accounts. Here is a reply from our attorney.

“We’ve spoken to quite a few banks about the subject lately and they all
require that the foreigners be residents for them to open a bank account
(checking account). Some banks, however, will allow non residents in the
process of obtaining residency to open a savings account. I will check with
some other banks but this does seem to be a general policy among them.”

If you have questions about Ecuador subscribe to Ecuador Living. We do our best to answer them.

Merri and I do not have a bank account in Ecuador. This has nothing to do with residency or bank safety. Our basic asset protection banking philosophy, which I originally published in the 1970s in my first book “Passport to International Profit,” is even more valid today than it was over 30 years ago. This is:

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

Since Merri and I live the most in Ecuador and the US, we do most of our banking elsewhere.

We use our ATM card to live on when in Ecuador. Our bank in Cotacachi is here.

ecuador-bank

In this Cotacachi square.

ecuador-square

So where should a multi currency investor do the majority of his or her banking? Multi currency investors do not want to hold a good multi currency basket of investments in a bad bank…or even worse in a country where banks are unsafe.

A recent message Economic Safety in Troubled Times showed one way to gain US dollar bank safety in North Dakota.

There is even more safety a bit further north. Canada it appears may be one of the safest places to bank. Canada has many wonderful sites and scenes such as this British Columbia shot taken by our friend Dennis Goff.

High Energy Sunrise

Dennis by the way has a great web site about Ecuador at www.e-quator.net

I am really glad to see this and explain why in a moment. First, let’s review Canada and bank safety.

Canada has great bank safety according to a Yahoo Canada article entitled “Canada rated world’s soundest bank system” by Rob Taylor says: Canada has the world’s soundest banking system, closely followed by Sweden, Luxembourg and Australia, a survey by the World Economic Forum has found as financial crisis and bank failures shake world markets.

But Britain, which once ranked in the top five, has slipped to 44th place behind El Salvador and Peru, after a 50 billion pound ($86.5 billion) pledge this week by the government to bolster bank balance sheets.

The United States, where some of Wall Street’s biggest financial names have collapsed in recent weeks, rated only 40, just behind Germany at 39, and smaller states such as Barbados, Estonia and even Namibia, in southern Africa.

The article listed the top five safest countries as:

Canada
Sweden
Luxembourg
Australia
Denmark

Singapore was 13th and Switzerland 16th.

The current economic correction has reduced bank safety but there is another reason to be a multi currency investor. The current bailout will create inflation and currency corrections…including further weakening of the US dollar.

This leaves investors with three options:

Multi Currency Option #1: Earn more.

Multi Currency Option #2: Hold assets in other currencies.

Multi Currency Option#3: Live where life is good but costs are low.

This is why the focus of our three sites have these focuses, #1: to help develop small international businesses; #2: invest in many currencies and #3: live in Ecuador.

Our fourth focus is on natural health.

We enjoy Ecuador because life is good there. Prices are low and there are many natural health benefits.

However there are some risk…not in banking, not from Ecuador’s government and not from crime or civial unrest. The most realistic risk is from lack of experience in a new found place.

Earlier in this message I mentioned Dennis Goff’s new blog at www.e-quator.net. The blog features the Wall & Madison business run by Bob Lofgren and Deborah Nance. Dennis, Bob and Deborah are all long term readers who have become friends with Merri and me over the years.

Bob & Deborah were among the first readers to move to the San Miguel gated community. Here is a group of our real estate tour delegates visiting San Miguel.

cotacachi-ecuador-san-miguel-visit

There are some very wonderful homes here. I helped one of my readers sell his recently for $85,000.

cotacachi-ecuador-san-miguel-house

Here is a typical San Miguel Home.

Let me say right here, that I have nothing financially to do with San Miguel in any way. I live nearby and most of the houses and lots in San Miguel are owned by readers. Otherwise I am not involved.

Bob & Debroah have started a business to help San Miguel owners because of a problem Deborah described in this note to me.

Gary, As you know, who you trust down here makes all the difference in the world. What should be one of the best experiences of your life can turn out to be a nightmare if you work with the wrong people. There are westerners here who came to Ecuador late in life with no money to make their fortunes before it is too late, and will tell a buyer anything to make the sale. Our attorney has examined contracts from two developers and says they won’t hold up in court. One contract was taken before a judge and pronounced completely useless. Being foreigners, buyers have very little legal recourse if they get hooked by one of these people.

Robert and I are not wealthy people, but we have enough money to live comfortably for the rest of our lives. Given the spectacular scenery, clean air and water, abundance of healthy food and sweet people, we certainly feel rich living here. Many people will attest that after talking with Robert and being very excited to buy and build, Robert will tell them there is no land rush, and to go home and think about it and be sure buying in San Miguel is what they really want to do. We care a lot more about our souls than our pocketbooks. We started Wall and Madison, not to make our fortunes, but to be of service and to do things right. Just yesterday two women from New Zealand were here. They told Robert that they had traveled all over the country, and the construction here at San Miguel is the best they had seen in Ecuador. Unfortunately, even the Ecuadorian builders who are honest often have no idea of Western standards.

Robert and I have spent a great deal of time and gone to a great effort, along with our attorney, to see that Wall and Madison is entirely legal and above board. Ecuador doesn’t exactly make it easy to comply with the law. Perhaps that is why most developers don’t. It really is a buyer beware situation down here. So I am glad that you are willing to feature Wall and Madison with your readers. I can promise you that we won’t let you down.”

You can learn more at www.e-quator.net

Safety appears to be more important in troubled times…but really finding safety with the banks, the people and currencies you deal with is ALWAYS important.

This is why multi currency safety is as important as bank safety. Investors who do not have multi currency diversification can end up holding assets in a safe bank but with a worthless currency. Do not miss tomorrow’s message as it reviews my multi currency diversification now.

Gary

Join Merri, me and Jyske Global Asset Management at one of our courses. We review economic conditions, Ecuador real estate, my entire portfolio and natural awakenings to health and wealth with investing and business ideas for the months ahead.

International Investing and Business Made EZ Ecuador
https://www.garyascott.com/catalog/international-business-made-ez-ecuador

We’ll look at potential of real estate for sale on this lake.

Ecuador-lake-sites

and the value of Ecuador homes at San Miguel and Prima Vera II.

cotacachi-ecuador-san-miguel

Primavera II $46,500 condos.

multi-currency-Ecuador-condos

We’ll review review potential on Ecuador’s coast.

Ecuador real estate for sale

Salt or fresh water

Ecuador real estate for sale

Join me with the staff of Jyske Global Asset Mangement in Naples Florida to learn more about where in the world to invest now.  Learn how to attend this course free and save $499 to $750.

Until next message good global investing!

Gary

One of the best ways to prosper in this downturn is with your own internet business. You can enroll in our email internet course here for $299. However if you sign up for all three courses in June or later in 2009, I’ll send it free. You save $299. Learn more here

Get our web based course FREE if you join us in Ecuador. Learn more here.

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

Future 2009 courses

May 29-31  JGAM Florida Investment Course

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

Ecuador Crime


Ecuador crime & safety.

A reader just sent me this note about Ecuador crime.

Hi Gary, My husband & I have been reading everything you’ve sent on Ecuador & it sounds ideal. We were all excited about it as a prospect to move from the US to until we saw the US State Dept. website & what they
had to say about crime, rape, robbery & disease! It sounds awful. Have you seen it & what would you say in regards to? Thanks.

This is a good question that affects us all.

I replied:

I have written numerous times about risk during any travel because we all increase our risk when we go places we do not know. There are places of great risk in Ecuador as there in in New York, Seattle, Miami, LA or any city anywhere in the world. Yet people in these cities live fine because they know where to go and where not to go.


The State department correctly focuses on the most negative part of any country and they should. However there are vast parts of Ecuador that have been perfectly safe for us. This is a huge part of our service helping our readers know where readers have ad journeys and where they have not. Merri and I have taken several thousand people to Ecuador without a single violent crime. Where we live, we feel safe being out any time. Children are seen day and night playing, walking…on their own…without fear. I would let my grandchildren go more places in Cotacachi Ecuador than in the suburbia of Rockwood Oregon where I grew up.

However everyone has to make their own decision about the realities of risk.

Ecuador people are generally happy like these girls in Cotacachi.

ecuador-indigenous-girls

Ecuadorians are not violent people by nature. Even the worst reports suggest this.

Ecuadorians are friendly people.

Ecuador-friendly-people

The Overseas Security Advisory Organization wrote in their 2008 rpeort about Ecuador crime entitled “Overall Crime and Safety Situation”.

The criminal threat for Quito and Guayaquil is rated “critical” by the U.S. Department of State. Non-violent crime is the most common problem encountered in Ecuador, but police statistics show a significant increase in violent crimes. Reports of murders, rapes, kidnappings, carjackings, armed assaults, and burglaries are becoming more frequent throughout the country. The U.S. Mission to Ecuador personnel and other American citizens are routinely victimized by crime. The Regional Security Officer (RSO) continues to receive numerous incident reports from U.S. Mission personnel and American citizens detailing criminal acts committed against them, their families, and friends. Police reports show that in more and more cases, criminals are using some sort of weapon in the commission of their crime.

Children play safely in the streets night and day in Cotacachi.

ecuador-safe-children

The Overseas Security Advisory Organization report goes on to say:

Fortunately in the majority of these cases, the weapon is used for intimidation purposes only, with the result being that cooperative victims are seldom injured. Gratuitous violence is generally rare throughout the country, but is becoming more common in the larger cities, especially in Guayaquil.

Public transportation and tourist areas are still the locations with the highest crime rates, although the RSO office receives incident reports from different locations throughout the country. The RSO office recommends that visitors bear in mind that crime can impact anyone, anywhere, at any time, and thus should exercise normal security precautions throughout the country.

Observations/Trends

Ecuador is considered a critical crime country and hundreds of Americans are robbed each year. Weapons are readily available and criminals are frequently armed.

Ecuadorian people are not violent.

ecuador-happy-people

The Overseas Security Advisory Organization report adds:

Violence is rare as long as the victim cooperates. There is no evidence to suggest that Americans are singled out for crime, but some Western foreigners are perceived to be wealthy, causing them to be targeted by criminals. In two of the incidents, the victims were approached by perpetrators who used improvised schemes to approach the victims. This tactic is increasingly common, meaning that visitors should be wary of all requests for assistance

I wish I could report that Ecuador is crime free. Even more I wish that the world was crime free. Even more I wish I could report that crime in the USA and around the world was diminishing.

This is not the case.  Crime is growing in many places.

A recent USA Today article pointed out growing crime problems in America’s suburbia. It said:

Suburban neighborhoods are becoming refuges for those outpriced in gentrifying inner-cities.

Devastated by the subprime mortgage crisis, hundreds of homes have been foreclosed and thousands of residents have been forced to move, leaving in their wake a not-so-pleasant path of empty houses, unkempt lawns, vacant strip malls, graffiti-sprayed desolate sidewalks and even increased crime.

Many homeowners not only cut their own grass but also trim the yards of vacant homes on their streets, hoping to deter gangs and criminals from moving in.

Other residents discovered that with some of the empty houses, it wasn’t what was growing outside that was the problem. busted several pot homes with vast crops of marijuana growing from floor to ceiling.

The white picket fence of an American dream has faded into a seemingly hopeless suburban nightmare.

Tomorrow’s message looks at how these shifts in suburbia creates opportunity.

The point in today’s message is that crime is everywhere. in Ecuador as well as the US.

Ecuador crime has some positive aspects.

Ecuador crime typically is not violent. See the worst 50 countries for murder. Mexico is 6th, Costa Rica 19th, The US – 24th, Finland – 30th, Portugal – 33rd, Malaysia – 34th, South Korea – 38th, France – 40th, Australia – 43rd, Canada – 44th, Italy – 47th, Spain – 48th, Germany 49th.

Ecuador is not in the top 50. Statistically your odds of being murdered are higher in all the countries above.

Metals detectors are not required at Ecuador schools.

There have been no shopping center shootings!

Yet here is the decision everyone must make. Do you want to travel or not? When you visit unfamiliar places you increase your risk of being a crime victim.

To reduce risks when you travel see ten safety rules

We hope to help you avoid crime in Ecuador by taking you to places full fo color fun and laughter like this parade in Cotatacahi.

Ecuador-fun-people

Gary

Learn how to learn more about Ecuador her

Join us Oct 14-18 for our Ecuador Import Export Tour
https://www.garyascott.com/catalog/ecuador-import-and-export-tour

Visit Ecuador markets.

Ecuador-vendor

We still have space in our November courses and tours.

Nov 7-9 International Investing and Business Made EZ Ecuador
https://www.garyascott.com/catalog/international-business-made-ez-ecuador

Nov 10-11 Imbabura Real Estate tour
https://www.garyascott.com/catalog/ecuador-real-estate

November 12-15, 2008 Ecuador Coastal Real Estate Tour; Quito Real Estate Tour
https://www.garyascott.com/catalog/ecuador-coastal-real-estate-tour