Daniel Zurbrügg

Lower Consumption, Lower Economic Growth, Improved Healthcare?

Thank you for your comment...the longer we live, the more diseases we can cure, the more money we spend on health care...this can't be changed, since we all want a longer life.

But the spending on infrastructure is key if you want long-term sustainable growth...an area where the U.S. has not done enough and where it will need to spend a huge amount of money in coming years...which gives some great investment opportunities by the way..


On Oct 13 08:46 AM Tony Petroski wrote:

> Mr. Zurbrugg is talking sense here.
>
> "So money would be better spent on such investments that provide
> the basis for long-term economic growth rather than wasting money
> on simply redistributing wealth, over-regulating the economy or pursuing
> ‘pet’ political initiatives."
>
> Unfortunately, 52% of the American voters chose the candidate who
> promised to spread the wealth around and re-regulate the economy.
> As for "pet political initiatives," alas, they are with us always.
>
>
> Also from the author:
>
> "Let’s face it, we all appreciate the fact that our life expectancy
> has grown so rapidly over the last few decades. Now that we have
> the medical options to not only increase our life expectancy but
> in most cases also the quality of our life, we are prepared to spend
> extra money on healthcare."
>
> Sounds like a good problem to have. You start with the "extra money"
> part.

Lower Consumption, Lower Economic Growth, Improved Healthcare?

Thank you for your comment, I hear your points and understand them. However, whether we like it or not, in this world any attempt and measures to protect an economy from global competition, we make it even weaker. The more we try to control and regulate, the less attractive we become. We in the west have become too spoiled. We need to realize that we have to work until we turn 75 otherwise pension costs can't be financed anymore. Healthcare problems? I think there is a lot of inefficiency in this system, which make things very expensive...but also we need to face reality...a higher standard of living makes a lot of people lazy, they spend more time at McDonalds than working out and what we get is a society that is increasingly living an unhealthy life. We need to get moving again...I think that's where the problems are today...


On Oct 13 02:41 PM johnnywalker wrote:

> Mr. Zurbrugg:
>
> You argue, “It goes without saying that the need for infrastructure
> spending in the U.S. has been neglected far too long and there is
> an urgent need to upgrade infrastructure.” I completely agree, having
> just returned from a trip to Spain, which is considered to have one
> of the weakest economies in Europe. Coming back to the US felt like
> returning to a third world country. The roads, train stations and
> airports in Spain were modern, clean and efficient, and the trains
> were on time. Windmills and solar panel installations were ubiquitous.
> The US seems to be falling behind the rest of the advanced world
> in infrastructure, and this will ultimately affect our competitiveness.
>
>
> With regard to “over-regulating the economy,” what is the value added
> to the nation as a whole, excluding the already very wealthy, from
> the deregulation that led to the recent economic meltdown?
>
> Finally, you state, “… it would be time to completely overhaul the
> tax system before even thinking and possibly increasing healthcare
> programs.” I disagree. As a nation, we spend more on health care,
> on a per-capita basis and as a percentage of GDP, than any other
> advanced nation, and yet by all objective measures of outcomes, we
> are near the bottom of the list. By analogy, we are paying for a
> BMW and getting a Pinto. Where is our excess health care expenditure
> coming from (directly or indirectly, out of all our pockets), and
> what drag does it exert on the economy? Wouldn’t it be better to
> emulate other advanced nations, make our health care system more
> efficient, and use the savings for other purposes, like infrastructure?

Gold and the U.S. Dollar: What's Next?

You are probably right...it's all fiat currency, that's today's world...it's a question of relative strenght and weakness, you can compare these currencies and look at them as shares of each nation...it's not that other places do not have problems, but the U.S. Dollar and the U.S. do certainly have the biggest challenges..

thank you for your feedback.


On Jul 23 12:20 PM User 83004 wrote:

> What's next? Let us look forward three to five years.
>
> Where is the dollar going to be? The euro is flailing and the dollar
> is falling. All these fake, fiat currencies are going down.
>
> But I think the US is going to fall soonest, fastest and farthest
> because we have the most to lose and we've lost it.
>
> Corruption in government, big banks, multinational corporations is
> the biggest criminal enterprise in the history of the world.
>
> Military adventurism!
>
> Its all become to big to pay for.
>
> And it is failing, flailing and probably falling into some corporate-fascistic-go...
> enterprise of extraction of the wealth of the middle class of US
> citizens.
>
> The only answer, at the top (or the bottom, upside down) of the pyramid,
> is precious metals. Pre 1965 dimes may become a precious means of
> exchange.
>
> All this fiat currency, backed by only promises redeemable in what?
> Which country on this planet has a verifiable currency?
>
> How much gold is in Fort Knox?
>
> Real silver and gold in my possession and shares in PM mines seems
> to me the way to go.
>
> Many thanks and aloha,
> David

Gold and the U.S. Dollar: What's Next?

Gnome of Zurich...not sure, is this now positive or negativ for me...;-)..


On Jul 23 08:43 AM Old Trader wrote:

> Last night, on Bloomberg TV, I heard an Asian fund manager predicting
> $1.70/Euro in the not too far off future (Q4, if I recall correctly).
>
>
> Regarding the author's call on gold....far be it from me to argue
> with a Gnome of Zurich ;-)

Gold and the U.S. Dollar: What's Next?

Thanks for your comment...I agree, NOK has currently the highest weighting in our model portfolio (19%)..


On Jul 23 07:20 AM nobby73 wrote:

> I agree with your analysis, especially re Euro vs USD, though I think
> some of the petro-currencies such as NOK will do better.
>
> But, if the increase in gold price is more a function of dollar weakening,
> wouldn't it make more sense to buy highly rated foreign currency
> FRNs and at least earn some interest?

Gold's Shine

Thank you for your feedback, I appreciate it. It's really crucial, many investors don't realize the importance of holding "real" gold. Many still do have some type of investment certificate, which carries significant counterparty risk. Best, Daniel


On Feb 08 03:01 PM silverwood wrote:

> I would like to commend the author for a good article. He gives some
> good advice;
>
> "We are seeing things that were unimaginable a year ago and are buying
> substantial amounts of physical gold bars for our clients, normally
> at their request. Some of them are then flying to Switzerland and
> visiting their bank in order to take physical delivery of the gold
> bars and coins just to lock them up in a private safe box. They want
> to make sure they get the “real” deal, not just some type of investment
> certificate which might be linked to the gold price, but has also
> significant counterparty risk."
>
> I concur entirely and if you don't hold it (physical gold/silver)
> you don't really own it.
>
> Also the author 's chart shows we are in a consolidation period from
> the 2008 high. Within the period we have witnessed a down trend maked
> by successive lower highs and lower lows. This has given way to new
> uptrend which has broken above the that down trend line. We are bumping
> up against resistance in the $920- $940 area. Once through that resistance
> zone and we will be rapidly challenging the old 2008 high. God speed
> I say!

Gold's Shine

Thank you for your feedback, I appreciate your detail and qualified opinion. Gold has moved quite a bit since the article came out but I really think this is a much longer-term story. Best, Daniel


On Feb 08 07:18 AM SW Richmond wrote:

> The gold battle isn't over. Another important factor for small gold
> investors is the ability to hold on to it through a forced liquidation.
> The smashing of gold's price late last year has been attributed to
> forced liquidation by hedge funds, selling 'good' assets to raise
> cash to stay alive. IMO small investors must remain aware of this
> possibility and maintain a cash position capable of defending their
> gold position. The scenario I fear most is a sustained deflationary
> period (forced liquidation) followed by high / hyperinflation. Were
> such a scenario to unfold, small investors could find themselves
> forced to sell their gold and raise cash in a last-ditch effort to
> meet other obligations, only to be hit afterwards with massive inflation
> / devaluation of fiat currencies once 'their' gold is in someone
> else's hands.
>
> Strong hands are necessary to hold gold.