Is the Global Economy on the Brink? Gold, Silver, and Crypto as the Solution – Robert Kiyosaki | Big Money Investing Review
Video Transcript
Welcome to Big Money Investing
Your Ultimate Destination for Learning From Big Money and How You Can Succeed Too!
Are you ready to take it to the next level?
Investing into sound investments like big money does. Subscribe to the Big Money Investing Channel
the question I have for you for the average punter out there which is a better buy today gold silver or crypto hello hello hello Robert kosaki the richad radio show the good news and bad news about money and today we have very important show you know the title is actually QE Infinity other was when will this printing stop but really it’s a discussion which is better gold silver or crypto that’s the discussion and we have a very important guest today it’s John Adams he’s a chief Economist from one of my favorite countries in the world aie Aussie Aussie and I’ve been going to Aussie since 1976 where I went there to play rugby and it’s my favorite sport and needless to say we lost every game but it was a good were good sports about it but anyway uh welcome to the program John thank you Robert for having me thank you thank you thank you so your top topic is cute e to infinity and then you say there’s no turning back now I I totally agree with you but I want to break it down to go silver or what can a person do a crypto so we have some kind of solution and if you can’t endorse any of it that’s fine but um I I love goals over in crypto because I have an enemy in we have an enemy in common it’s called the Federal Reserve Bank of America which keeps Printing and I like what you said about this no turning back so before we begin could you give us a little bit of your background and what you do today sure um so in in terms of what I do today so I’m me I am an economic commentator here in Australia uh my main YouTube channel is a is a channel called in the interest of the people that I co-host with my um uh with with one of my partners Martin North uh I am the chief Economist for a company in South Australia c as good as gold Australia so where South Australia’s largest bullan dealership and I’ve been with them for about 3 years so we’re helping largely the ret Market acquire physical gold physical silver um and in terms of my background I’ve had a very diverse background from working in federal Parliament um uh working as an economic advisor to a federal senator being a bureaucrat at VAR levels of government uh working for a big forign Capital firm uh in terms of management consulting and uh yeah look I’ve been a writer for a number of mainstream media organizations in Australia largely about economics but uh covering politics and a whole bunch of other public policy areas as well so um why first of all what’s going on in Aussie because you know like I said it is really we had I had offices in Five Capital Cities I love Adela love the hills and uh but what is happening in the economy there because I hear your real estate is in a bubble and stuff like that so what’s what what’s the macro of Aussie sure so so um in terms of what I’ve been saying for the last probably five years is is uh we have the biggest death bubble in Australian history at the same time we got the biggest de bubble in history of the world any time I do any interviews for we with the people from the United States I like to say to people that uh you know in the context of um the household sort of debt bubble and and the real estate debt bubble that Americans had before the global financial crisis if you thought that was extreme uh you pretty much haven’t seen anything um the the extreme um if you look at the Australian metrics we are way more extreme in terms of real estate prices versus sort of income and um and sort of yeah like in terms of income but also household debt household debt relative to income we are on much more extreme levels than the United States uh but my Revis position is that we actually have now three dep three de bubbles federal government here in Australia state governments and territory governments WRA up unprecedented amounts of of debt to basically save the other two bubbles we had the biggest fiscal and Monet stimulus package in Australian history and the reason why why they were forced to do so is because without that stimulus we would have seen record amount of delinquencies and defaults in terms of mortgages and we would have had a financial crisis um similar to what you know for example the United States and Ireland went through in 20072 2008 so in order to avoid that outcome uh kind of like what you said in terms of opening the show terms of central banks contining to print well we had the biggest money printing campaign in Australian history coupled with with the biggest rack up of um uh government debt um um and you know when I say government debt in the Australian context if you look at from July 2019 all the way through to the projected 2024 we’re talking $975 billion over five Financial years and and there’s no plan to pay back the debt there’s no plan to balance the budget and basically we’ve Ru two generations of Australians in order to fa the financial system um and and and you know the Australian economy is in a very dire predicament and then the other thing I would say is in terms of how you open up the show about previous comments I made on other interviews about we can’t turn back well particularly in the strali context if we ever sort to normalize policy uh what that’s going to mean is is that um I mean we’re going to either we’re going to have high interest rate costs um and for a lot of households that are drowning in debt they can’t meet those repayments uh and that will obviously then lead to the Harry Dent scenario of deflationary depression so the mentality having worked in federal Parliament and having worked um in the mainstream media here in Australia the mentality among the elite is that a deflationary depression is the worst outcome of all and we must avoided it all costs um and and and so that’s why they contined to print and spend and and because of that that’s why I came out with a forecast of well not just a forecast but but a statement that we are seeing the beginnings of stagflation here in Australia um and in in in the beginning of 2021 I said that with the election of Joe Biden and the um $ 1.9 trillion stimulus package passed by Congress and now a two trillion stimulus package on infrastructure I think this stagflation process is going to accelerate so um you know I said I first went to oza in 1976 and you guys had the same problem then it’s a just like to spend money they travel a lot have a good life yes and they personal debt was high and then they the Aussie real estate prices I mean it’s a great place to live I I bought two properties in Aussie one in U one in uh what was that Kings Cross and one in Rush Cutters Bay and I made a lot of money because the inflation was just going high as the K kite but I don’t think they ever stopped borrowing money and so the reason I want to interview you today is because excuse me Aussie might be the canary and the coal mine I mean what’s going to because Aussie’s economy and population smaller but is very similar to America very very similar so you’re saying there’s a personal debt bubble there is a real estate debt bubble the same as the US and now you have a nationwide debt bubble right yes yes I mean one of the points I’ll make Robert is is that um when you look at the um the the um if you look at the debt profile of American households before the GFC a lot of poor people got into the real estate bubble um when they when they couldn’t actually afford to be in the real estate market um you know the the big difference between America and Australia is the bulk of the household debt is actually with high income people as opposed to low income people um and some some Australian commentators have said well um you know there’s no comparison between um Australia and the United States because um uh people who who can service the mortgages actually have the bulk of the debt now the problem with that argument is that our debt profile is is is very similar to what happened in Ireland so middle income to high income uh people in Ireland before the global financial crisis had the bulk of the debt uh and then and then when the GFC crash when the GFC occurred the Irish economy basically went through the Flor so while we have a debt different debt distribution compared to America um whether it’s America Ireland or Australia um yeah we are in a situation that we can never that we can never return to and and the other thing I will say is that because you talked about um the 1970s so we did have obviously stagflation both in America and Australia in the 1970s but if you look at personal debt levels um uh yeah I mean so so the last time we had a household debt bubble in Australia was actually in the 1880s and we had a depression in 1892 which was actually worse for Australia compared to the Great Depression um and our debt levels for households are substantially higher than um where we were in the 1880s on a proportional basis well one one more question because another one of my ear favorite countries is kiwi and New Zealand and the great All Blacks how does New Zealand’s economy compared to Ireland and to aie yes so yes um that they probably do have a very similar situation where they do have elevated levels of household debt um and they do have high house prices but I would say that their situation is nowhere near as Extreme as where we are here in Australia so yes so do they have a problem sure but is it is it is it as bad as where we are hearing down probably not and and a lot of Americans are running to New Zealand to hide have you heard that yes yes I mean think look at I mean over the last few years I’ve heard a range of stories of Americans losing confidence in the American government in the American legal system in the American economy and and and a whole bunch of Americans want to escape so New Zealand is definitely one of those locations where a lot of Americans have fled to but it but the other interesting thing I should say Robert is is that I’ve also heard a lot of Americans going down to South America particularly in Chile um and no doubt if you go down to the southern parts of Chile you’ll find a few xack communities being uh I mean they’re developing and they’re growing and and yeah so that could be potentially another area where Americans May um find Refuge so would you you know like U I’m I’m not kidding you I love Aussie I just really really do would you suggest Americans run there um uh well I mean thing is like so so probably what I would say is that there are some advantages I think living in Australia compared to the United States but but also I think there are some there are definitely some um there are some disadvantages as well um so so yeah so I would say that the cost of living situation here in Australia is perhaps more pronounced um than than what what it is in America but on the other hand while I think we have some corruption issues here in Australia I don’t think they’re anyway as Clos as to what the Americans have yeah for those who may not know Australia really is like the promised land to me it’s you know you have great medal everything is great as long as you don’t make your money there you because your government wants to take it all the time yeah think yeah I mean that that that’s probably another thing I would point out our tax rates are much higher where the you know the taxes are in terms of the United States as well okay so you’re an economist for good as gold Australia what is good as gold Australia do yes good Australia so we’ve basically been in business since about 2012 we we’re a retail dealership so we basically um um we provide to the market gold ofver Platinum u in a whole host of retail denominations we do storage we do insurance um and uh yeah so I mean particularly um as we continue to see money printing Central Bank um sort of central banks that around the world get out of control um I mean the the owners of the business thought that it was time to help more Australians uh and we we have a growing International climent base as well help more people escape the thean currency system and get into gold and Sila obviously I’ve listened to you on multiple interviews Robert and I don’t know that this June if you started um correct me wrong was it was it when you went to Vietnam or before Vietnam that you said B silver I started buying silver in 64 when I was 17 because of gresham’s law gresham’s law says when bad money enters the system good money goes into hiding so when I was 17 in 1964 they started uh debasing our dimes and quarters and half dollars so it was a copper tinge around it and I didn’t know but Gram’s law does apply because immediately I didn’t trust my dimes quarters and half dollars and I started going to the bank and turning in dollars paper dollars and getting rolls of dimes quarters and half dollars and I’d pull out the real silver and I put the copper copper silver back in there and then I go back to the bank and kept trading the trouble was then I went to school in New York at 17 18 and my mother spent my money so that’s it kind of made my point that poor people don’t know good money from Bad money that’s the biggest problem my mom and dad had no idea why I was running back and forth to the bank as this kid high school kid turning in fake paper money getting rolls of dimes quarters and half dollars and pulling out the real silver and training in and my mother says well I spent it while you’re in school I’m going and I think we’re talking about why there’s so many poor people they don’t know good money from fake money and I’m got to have one more question to you I’m excited about here in America you know you have the Perth Mint and we’ve heard that there’s a shortage of silver in Perth I don’t know if that’s true or not but when we come back that’s what I want to talk to you about because the real subject here it really is QE Infinity I don’t think the banks can turn back they have to keep Printing and the question is what are you going to do gold silver or crypto or Bitcoin or ethereum so that’s kind of my discussion today because we’ve got to know good money from fake money we’ll be right back are you worried about your financial Security in these unprecedented times if you are the next minute could profoundly impact your financial security imagine waking up to find the economy has plunged and your portfolio has plummeted 30 to 45% while Banks turn turmoil holding your money hostage while waiting for FDIC intervention where would you turn for many this may sound like fiction but it’s a stark reality for those that have money on the line recently Americans awok both the NASDAQ and the Dow plummeting over 1,100 Points each and triggering a frenzy of sell-offs History shows us how a single event can crash the market like the do bubble of 1999 the subprime mortgage prices of 2008 and the pandemic of 2020 but today we’re facing multiple bubbles commercial real estate stock bonds and Banks combined with the Relentless inflation the threat of global recession the specters of war and you have the perfect storm the consequences could be catastropic plunging us into unprecedented crisis America is siding in the age of Discord with trust in institutions collapsing and the Democratic Norms unraveling the quality of life for Americans has declined wealth is concentrated among the rich while the median American family income stagnant creating a dangerously topheavy social pyramid moreover hostile countries like Russia China and Iran are working to destroy the US dollar gold is a no matter what store of wealth that you need that’s why Robert has been such an advocate of gold and he trust Allegiance gold Allegiance gold is ready to help you incorporate physical gold as part of your portfolio and protected against economic uncertainty visit protect withth robert.com today to learn how you can qualify for up to $5,000 in free silver with a qualifying investment or give them a call at 8443 Robert remember to mention Robert and Kim sent you when you contact Allegiance gold secure your IRA or 401K today with Allegiance gold visit protect with robert.com or call 8443 Robert [Music] welcome back Robert kak the Rich Dad radio show the good news and bad news about money and today our guest is John Adams he’s an economist for good as gold Australia my favorite countries in the world and if I was going to run I’d run to Australia because it’s it’s it is heaven it is fantastic place to live except you don’t want to make your money there and uh and we’re going to be discussing his topic is QE Infinity other words can they stop printing I don’t think so and that question next question goes where do you go then go silver or crypto Bitcoin or ethereum or whatever they got today if you think in the in the classical Austrian School let’s say l Von me’s about um what is inflation inflation is the expansion of the money supply so to have deflation what that means is the money supply must shrink and the only way in the current context that that’s going to happen is that is that the debt is going to shrink and how how you going to shrink the debt you have to have a series of defaults now every time we’ve had a point of Crisis since 2008 the central banks and the national governments around the world continue to print and spend to stop the dead bubble from imploding um and uh and so far that has been successful so whether you think about the sovereign debt crisis of 2012 or for example the repo crisis in New York in 2019 or covid-19 2020 or even if you look at the end of um February 21 in terms of how the bond market uh particularly not United States but it suddenly spread to Australia Japan and Germany and every time there’s there’s um you know some sort of systemic risk coming to the fall they try to print and spend and provide liquidity so that you don’t have that sort of situation from occurring um we’re going to see more of an inflationary situation moving forward compared to in terms of deflation and and you know I know we’re about to get into this conversation about go of in crypto but but what I would say to your audience is is portfolio allocation is uh changes so dramatically compared to if you believe so if you believe deflation coming your portfolio allocation would be D dramatically different compared if you believe they were going to have some sort of inflationary outcome um and and you know before you know investors start to think about well what do I put what whether how do I allocate my Capital you really have to get the macro cure right um and and you know obviously I’ve been studying economics for for more than 20 years um but I know a lot of people who who do believe in the the inflationary scenario and there are some who who believe in the inflationary scenario so so I think that investors need to really get their head around well um what have the central banks and the governments been doing since 2008 and do we see any Prospect of any changes moving forward so let me give you a chance to promote good as go Australia you know you say you sell to people outside I would an American I mean the real reason I would go to Australia is behind your head it’s Sydney Harbor I mean that is the most beautiful place you know if there if there’s going to be a crash I’m going to go there and buy in real estate because that place is is so gorgeous so um why would an American buy gold from good as gold Australia well I mean think is well I mean the the United States has a history of gold nationalization so some people call it confiscation what what FDI did in 19334 um and obviously when you look at LBJ you had a problem in terms of the demonetization of Sila so um so so yeah so the the American government has a history of um you know doing adverse things to American citizens whether it’s a taking people’s gold away nationalization making the ownership of gold illegal um or doing things with silver um we haven’t had that sort of History um here in Australia so I do think that when you look at the context of property rights um and your ability to um protect your wealth um from a legal point of view I think there’s less legal and political risk in Australia compared to uh the United States so for those of you looking at John Adams behind his behind his head is a picture of cdy Harbor and that leads out to the opera house and you know if there’s a crash I’m coming what a rumor about them not having enough silver sure so yeah so now um one thing I will say is is that we have a number of sources when we obtain product gold and silver I heard stories of um wholesalers not being able to buy um large amounts of silver U but but but I’ve had numerous people who have said well I don’t want small products if you’ve got thousand o SPS I’ll take those thousand SPS and sometimes people have been able to get them in a lot of cases they have is unaccounted accountable account what what is that yeah so so so yes so so in the American context if you buy silver um or gold and you have it someone so you buy the physical and someone holds it for you I mean in the American context that’s called allocated um allocated and segregated whereas in here Australia it’s called allocated now um UN in the context of the per me unallocated is um so so technically you don’t own any silver but you own a promisory note but what you have but but in buying a promisory note you buy an interest in the working capital of the Perth Mint so the so obviously the Perth Mint has a has X tons of silver that is on hand um as part of their manufacturing process and they basically say that you buy a share of that um that unallocated po um and and so in that context um if if the price s was to move well you can obviously enjoy that price exposure by getting a cash Redemption at the prevailing market price or the other hand is if you want to convert from unallocated to allocated will you pay a fabrication fee and then they’ll take that R Sil and then convert that into a buy that you legally will own so that’s what they call unallocated now allocated Future’s contract it’s it’s really you have an IOU to take delivery but exactly don’t know there so this is so I’m glad I’m talking to you because as good as gold in as Australia as an Insider you know like I I love silver you know people see me on Fox television in America all the time saying I love silver and so the question I have for you for the average punter out there which is a better buy today G silver or crypto um well in terms of my my portfolio uh look so I don’t own any crypto um and in terms why why why is that why is that well okay so so so well probably three key reasons the first is is that um we have a long we have a 5,000 year history with gold and silver and cryptos have only been around for 10 years or about 10 to 12 years so we don’t know if we had a really systemic financial crisis well what’s going to Happ to happen to cryptocurrencies we we don’t really know so so I think that there’s a lot of risk a lot of Market risk that a lot of people in the sector haven’t don’t really understand because we’ve never gone through that situation before that’s point one point two is that the big the number one reason why people are buying cryptocurrencies is because it’s going up but uh but you know one thing I like to do when I allocate capital is I like to get a very deep technical understanding of what I’m actually doing and and and for example Robert if you get gave me the code for Bitcoin versus ethereum versus um Litecoin Etc um I mean now I’m an economist but I’m not not a cryptologist so I can’t tell you at a technical level what do these codes actually do and what are the differences um and what are the risks and what are the opportunities and and I would say 99.9% of um crypto investors are not cryptologists and they cannot they do not understand these underlying computer codes what they actually do and the only reason why they’re buying them is because the price is going up um and and and if if you if you don’t actually understand at a technical level what these codes do when you don’t actually understand the risk of the asset right um so that’s point two now point three is so the funny thing is I did a seminar in adly last week with the schud SC Australia and in the Q&A I actually had a question about crypto and I actually asked the audience um and there was about 140 people in the audience and I said well uh how many people here tonight actually own cryptocurrencies and about half the audience put the hand up and I said um how many of you actually understand that in 1996 the National Security Agency in in the United States wrote a white paper for MIT about cryptocurrencies and only one put only one person put his hand up and and so the the real question I have is well who was Satoshi Nakamoto I mean because I did say it could well be the American government is behind the whole cryptocurrency phenomena now I’ve got some different theories as to why that is but um uh you know a lot of people again haven’t looked into the history of C cryptocurrencies they don’t know that the NSA wrote a white peer about this and and again I think there’s much more to the crypto story than than what um the average American or the average Australian investor are fully aware of I I agree I agree 100 perc but I you know I I’m a Trader in crypto I’m not an investor so do you what I mean so when it when it dropped to 7,000 a coin I got back in so still I’m in the money quite a bit right now and I I know it can go go to zero also so I’m well aware of that whereas gold a gold and silver are God’s money so I have a lots of gold and silver I a final one quick question Aussie your economy is really dependent upon Chinese because you’re you’re you’re a resource company you’re exporting to China how’s how many Chinese are moving into Azie and how is your relationship with China yeah we’ve had a lot of people from China uh well we have a lot of people from from Southeast Asia China and India come to Australia every year because they come to get a university education here in Australia um so and that process has been happening for the last 20 years and and a lot of a lot of students when they graduate they they decide to stay here in Australia as supposed to go back to China or India or wherever the case may be so so so we do have a significant Asian population here in Australia and you know like here in Australia everything’s going well I think from a social relation point of view how can people get in touch with you good as go sure yes so so yeah so so I mean in terms of myself I have I’m on Twitter um so I look people can find me at Adams economics I actually have my own personal website Adams economics.com uh so people can look up as good as G training we have a website we have a YouTube channel um and yeah thing it’s like feel free to reach out to me personally or reach out to the company and if you looking for goals over p and we definitely happy to help yeah John thank you thank you very much you live in God’s country except for your TX thank you very much thank you man take [Music] care this podcast is a presentation of Rich Dad media NetworkWelcome to Big Money Investing – Your Ultimate Destination for In The Money Facts!
🌴 Discover the Big Money Investing Strategies on Metals and Real Estate Investing. 🌊
Experience the world of finance with Big Money Investing. We bring you the latest and greatest from Big Money Investors, showcasing the whys, how-to’s, and best practices. Whether you’re planning a short—or long-term investment, preparing is the first and most important step. The Big Money Investing channel is a great go-to investment advice source
🔥 What You Can Expect:
- Exclusive Financial and Big Money Investing How-To’s
- Big Money Financial Traits: Learn how to mix and match your perfect investment portfolio to match the planned-out time horizons.
- Financial Learning Is A Lifestyle Change: Stay financially fabulous with our expert investing tips, real estate practices, and healthy lifestyle advice.
- Behind-the-Scenes: Get a sneak peek into how the Big Money Investors spend some of that return, from photoshoots to interviews with the experts.
👙 Why Subscribe to Big Money Investing?
- Stay Updated: Be the first to know about new investment ideas and most importantly what not to be part of in today’s age.
- Inspired Goals Lend Motivation: Get inspired by our Big Money Investors’ vibrant and diverse lifestyles, a perfect view at times.
- Engaging Community: Join a community of financial enthusiasts and wealth producers who love to share their passion for life with others.
🔔 Subscribe Now: Hit the subscribe button and turn on notifications so you never miss an update from Big Money Investing. Join us on this fabulous journey and transform your financial situation with the latest trends and tips from Big Money Investing. Thank you for being a part of our amazing community.
#BigMoneyInvesting #big #money #investing #lifestyle #investors
Support Big Money Investing Sponsors
-
Book Sets, Books, How Big Money Investors Think About Money, How To Think Like A Big Money Millionaire
Big Money Financial Investment Management Book Set
$85.44 – $177.66Select options This product has multiple variants. The options may be chosen on the product pageQuick View -
Books, How To Think Like A Big Money Millionaire, Top Level Communication Skills
How to Talk to Anyone by Leil Lowndes 92 Little Tricks for Big Success in Relationships
Original price was: $18.24.$12.89Current price is: $12.89.Select options This product has multiple variants. The options may be chosen on the product pageQuick View -
Books, How To Think Like A Big Money Millionaire
Poor Economics By Abhijit V.Banerjee
Original price was: $18.09.$12.14Current price is: $12.14. -
Book Sets, Books, How Big Money Investors Think About Money, How To Think Like A Big Money Millionaire, Spiritual, Wealth Creation
7 Book Set – Master Your Time – Master Your Beliefs – Master Your Destiny – Master Your Thinking – Master Your Emotions – Master Your Motivation – Master Your Focus By Thibaut Meurisse
Original price was: $93.43.$67.33Current price is: $67.33.
Leave a Reply