Retirement Planning For The 21st Century

It breaks my heart every time I see a senior citizen (60+ years old) working at Walmart, either greeting people at the entrance, or pushing carts around, to just make enough money to pay for their medications. It’s the brutal reality that we live in. And it’s only going to get worse.

The biggest problem facing our civilization is: Cost of Living is going UP, Employment (Jobs) and Inflation Adjusted Wages are going DOWN, and the life expectancy has considerably gone UP, for better or for worse. Combine all those factors with the rapidly increasing population, and you have a situation where the issues presented in the movie Elysium, have the possibility of becoming very real. Dystopia, I tell you.

So is there anything that we can do, to at least survive these problems, before we kick the bucket and meet our creator? Well of course there are certain things that can be done, in order to ensure that you can live a decent life after retirement. Now keep in mind, the plan I’m about to outlay in this post is for people who fall in the category known as the “Middle Class”. That means, you’re neither Rich, nor Poor; you’re just Average, which is an accomplishment in and of itself.

Here’s my ideal Retirement Plan (items in no particular order):

1) Education – The days of high school dropouts getting decent paying jobs are long gone. We live in a competitive world, and it’s either Do or Die. It’s a survivor’s game, and in order to survive, you need the right tools. Education is a must. If nothing else, you should be willing to move heaven and earth to at least get a Bachelors Degree in a field that’s hot at the moment. Today, the field of Medicine, Technology, and Finance, are pretty hot. Of course, times change, and with that, the requirements change; you gotta be able and willing to ADAPT.

2) Investing In Hard/Liquid Assets – In a world were FIAT Currency is as worthless are a sheet of printing paper, you need to insure your future by investing in hard/tangible assets. Gold, Diamonds, Real-Estate, etc… you need to have at least 25% of your liquid net worth invested in these hard assets.

3) Marriage – If and when you finally make up your mind and plan to get married, I recommend you choose your life partner very wisely. Your partner should be someone that’s productive and contributes in some way to the household. You need to have at least 2 earners in your family.

4) Buying a House – Don’t go for the Hollywood lifestyle with 3 pools and a tennis court in your backyard. Be conservative. Buy a house that’s just good enough, and severs the purpose that it’s suppose to serve: Sheltering. Also, if you buy a house and it goes UP in price, lets say from $100K to $200K, I recommend selling the house, taking the profit, and renting an apartment for the next 2-3 years, until the home prices go back down, at which point, you can consider buying a house again. I believe one shouldn’t stay in the same house for more than 10 years, especially if the house has gone UP in value. Even though this might sound tedious, this is the best thing for your future/retirement.

5) Invest In Your Kids – Assuming that you’re smart enough to have no more than 2 kids, I highly recommend being nice to your kids and investing in then, with the hope that they love you enough to take care of you after retirement. Even though this is a cheesy retirement idea, it’s still worth a shot.

6) Avoid Making Foolish Mistakes – Money is hard to come by these days. So before wasting it on some crappy investment scheme, think a million times about the consequences, and weigh all the risks, before making a final decision. Heck, you’d be better off in the long run, keeping your money in a savings deposit, rather than investing it in some phony investment scheme.

There you have it. Though these are just some ideas that you can implement, they are certain to add up over time. Small things make a huge difference.

P.S: If time permits, I’ll do another post, a Part 2, with some more Retirement Planning Ideas for the 21st Century.

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The Green Bay Packers, Aaron Rodgers, and The Never-Ending Collarbone Saga

Can we stop with this farce already !!!

Being a die-hard Packers fan, it makes me sick to my stomach to see the Green Bay Packers, Mike McCarthy, and Aaron Rodgers, play games of deception with us, as it relates to Rodgers’ Collarbone injury, that has sidelined him for 6+ weeks now. As a fan, I’d be much more content with MM just coming out and saying that Aaron Rodgers will be shutdown for the rest of this season; or Aaron Rodgers not misleading fans about the extent of his injury, and when if any, he experiences pain or not. It’s a bone injury, so we understand that it is going to take time to completely heal. Which is perfectly fine, as long as that is what’s conveyed to the fans; instead, we’re getting mind-games and thousands of alleged sources dispersing information to various media outlets, while the truth remains lost in translation.

I LOVE The Green Bay Packers and Aaron Rodgers way too much, and hence I’d really appreciate if MM can be a little more forthcoming about the injury, rather than a poker faced “He’s not medically cleared” response.

With that said, I’d now like to take the time to address the delusional fans out there who troll the inter-webs with their “Brett Favre would have played through his injury” thesis. STOP!!! Just STOP!!! As great as Favre was, he never broke his collarbone, and he never had a medical staff as conservative as the one we have right now. So please STFU, if you can’t say anything worth value.

With that said, I hope Aaron Rodgers gets back on the field ASAP, because I still believe that The Green Bay Packers can WIN the Super-Bowl.

Go Pack Go !!!

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Financial Stocks Will Under-Perform In 2014

Financials have had a great run this year. Financial Stocks have out-performed the broader market, rising as much as 30+ percent, and they haven’t looked back since. Anyone waiting for a correction has been brutally annihilated. The market hasn’t had a huge sell-off this year. There have been minor snags along the way, but all-in-all, it’s the BULLS that have been pushing this market to new all-time-highs.

One of the main reasons why the market has rallied so much this year is the Financial Sector. The same sector responsible for the 2008-2009 recession. And even though on the surface it might appear that Wall Street has fallen in love with Financials once again, the reality is, this love is nothing more than a cheap one night stand. It’s temporary. Soon Wall Street will turn against the Financials, especially when The FED announces it’s QE Taper Schedule. The second that schedule hits the newswires, expect Financials to take a huge hit, and as a result, take the whole market down with it. It wont be an overnight sell-off, but a slow and painful one, that might continue into 2015.

I’ve said it before, and I’ll say it again: The current levels that the markets are trading at, are simply unsustainable. Once the free money from The FED’s printing press stops flooding the markets, we’ll get a more realistic look at the overall Economy.

I predict a bad 2014 for Financial Stocks.

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GOLD Predictions 2014

Well, to say that GOLD was the single worst investment idea in 2013, would be an understatement. There are many investors out there who’ve got brutally burnt on their Gold trades. But, that was the PAST. I believe GOLD will be the most profitable investment in 2014. This is not a hunch or a guess, but a prediction based on the REAL WORLD, as opposed to running computer models.

Despite the ginormous surge in Equities this year, Gold/Precious Metals still remains the investment of choice for many people. Because it has been the investment of choice for thousands of years. People understand Gold, as opposed to pieces of paper that have little to none fundamental worth. I believe Gold has hit its bottom, and it realisticly cannot go any lower that it already has.

The thesis that Gold Haters have been selling to public is that once The Fed starts tapering its QE program, Gold will essentially go down to zero, which is utter and complete BS. As a matter of fact, I believe QE tapering will have a very mild impact on Equities and Precious Metals. The real surge in Gold will occur when Equities are unable to keep up with sky high unfounded valuations/PE Multiples, and it is then that Gold will become HOT again.

My prediction for Gold in 2014 is:

GOLD will hit $1600 by the end of 2014.

There you have it. GOLD at $1600 by the end of 2014.

All the metrics, indicators, charts point at Gold having a phenomenal 2014.

I’m already on the Gold bandwagon. Are you?

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Russell Wilson Is The Most Over-Rated QB In The NFL

MVP MVP MVP !!!

STOP !!! Just STOP !!!

After Monday nights’ game against the New Orleans Saints, the Russell Wilson bandwagoners are running rampant trolling all forms of communication, the Internet, TV, Music, etc… completely out of control, I tell you. It boils my blood every time I hear the bandwagoners crown RW as the second coming of Christ, or the Greatest QB of All Time. Stop the madness. I understand this is America, and we love to cheer for an underdog. I totally understand that. But to label a 2nd year dude as the G.O.A.T and possibly MVP, is beyond crazy. Don’t get me wrong, Russell Wilson is a good/decent player; but he’s nowhere near the greatness of Rodgers, Manning, Brady, and Brees.

Russell Wilson is the by-product of a Great Coach, and a close to perfect Team. Seattle Seahawks, as of this moment, is the best team in the NFL. The Seahawks will WIN the way they’re winning right now, even without Russell Wilson. That’s the reality. And the sooner everyone accepts that, the more we can focus on players who are really making a difference for their respective teams, and having a MVP like season. If it weren’t for Pete Carroll, Russell Wilson would be playing as a backup on some mediocre team.

One misstep, and the bandwagoners will jump off the wagon and crucify Wilson. That’s the sad reality that we live in, especially when people are trying to impress other people on Social Media and other troll heavy forums.

I’m happy for Russell Wilson and the success he’s had so far, but I believe his days on Cloud 9 are numbered. Soon he will be humbled by the NFL, just like RG3, and these same bandwagoners that have placed him on the same pedestal as GOD, will be asking for his Head.

Russell Wilson will fall. It’s just a matter of time.

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Potential Merger and Acquisition Targets In 2014

Well, as a not so glorious year (2013) comes to an end, the story apart from markets making all-time-highs remains the same: Lots of FREE Cash, Not a lot of CapEx, Dismal Earnings, Lowered Guidances, and Lots of Fake Promises. I doubt this is going to change in 2014. But what I do know is that we’ll see a lot of M&A activity in 2014, especially in the Technology, Transportation, and Energy Sectors.

Here are some Stocks/Companies that I’d be looking at in 2014:

1) DELL and HP – I believe 2014 will be the year in which we’ll finally see some consolidation in the Computer Hardware sectors. The two companies that I’m looking at as potential Merger targets, are DELL and HP. If not a complete Merger, we can see a spin-off or partial Acquisition of the Computer Hardware business.

2) Blackberry (BBRY) – This one is a no-brainer. BBRY is DONE. The company has no other option than to merge or be acquired by a Tech Heavyweight. Though this seems a stretch, I believe Facebook is a legitimate candidate to Acquire Blackberry (BBRY). Which certainly makes sense, especially if Facebook can merge its platform with Blackberry’s BBM messenger. And mobile is the next frontier for Facebook, if it wants to stay relevant. At current valuations, BBRY would be a great buy.

3) I expect Amazon (AMZN) to start acquiring various package (courier) delivery companies in 2014.

4) Microsoft and Intel – This makes perfect sense. With Microsoft making a huge push into the Tablet market, there’s no better Merger/Acquisition target than Intel (INTC). My predictions on Microsoft’s M&A activity have been pretty spot-on over the years. I predicted Microsoft would acquire Nokia’s mobile phone business (unit), and that’s exactly what happened. I expect the same for Microsoft and Intel.

These are the major M&A targets that I’m looking at going into 2014.

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Zach Mettenberger Is The Perfect Replacement For Tom Brady

Anyone who knows me, is well aware of the fact that I’m a huge LSU Tigers and Zach Mettenberger fan. I believe Zach Mettenberger is bar-for-bar, pound-for-pound, throw-for-throw, the best QB in College Football. His arm, pocket awareness, and decision making are just unbelievable; not to mention his pin-point accuracy. He is an NFL QB. I don’t think I can say the same about Johnny Manziel or any other College QB, with the exception of AJ McCarron, who is the next Alex Smith.

I strongly believe that Zach Mettenberger has the potential of becoming the next Tom Brady. In fact, I believe that since Brady only has couple more years left, the New England Patriots should draft Zach Mettenberger in the 2014 draft. Zach Mettenberger can perfectly fit into Bill Belichick’s system. Mettenberger is a special kid and he deserves to play in the NFL. Yes, he’s been plagued by injuries this year, but I believe he’ll come back even stronger from those injuries and will go on to win multiple Super-Bowls, given he’s drafted by the right team, like the New England Patriots.

I’m not someone who’s huge on Stats and stuff, so I wont be indulging in that; you can go look those up for yourself. I’m someone who believes in the “Eye Test”. And I like what I see in Zach Mettenberger. The dude is a BEAST, and has an incredibly strong arm.

Conclusion:

If Zach Mettenberger is drafted by the right team like New England Patriots or Chicago Bears, I believe he has the potential of becoming one of the G.O.A.T.

This kid is special.

#GoTigers

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Top Trades For December 2013

Now, even though I strongly advise against Trading in December of ANY year, I understand that there are some greedy souls out there that wont stop at anything short of closing the year 1 Million % YTD Gains. So to all those troubled souls out there, here are some of my Trade ideas, if I were to trade in December.

1) GOLD – BUY

Price Target: $1300

2) INTC – BUY

Price Target: $24.50

3) AAPL – BUY

Price Target: $590

4) CSCO – BUY

Price Target: $22

5) JPM – BUY

Price Target: $58

That would do as far as closing out the year with some legit $$$$ goes. As you can see, I’m pretty BULLISH on stocks this December. Unless something just pops outta nowhere, I believe the markets will trade NEUTRAL to BULLISH. Avoid initiating Bearish trades in December.

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Market Crash Awaits !!! – Really Carl??

Man, the hype that comes with being one of the biggest A-Hole on Wall Street, simply astounds me. Carl Icahn, The Exterminator has spoken. According to Carl, the markets are about to crash, or at least a 10% correction in the near future. His thesis is Fake Earnings, and Non-Existent Economic Growth, which would make sense if he himself was net short the market. In fact, if Icahn is so Bearish on the economy, why did he just buy $1+ Billion worth of AAPL shares? Is AAPL also reporting FAKE Earnings?? Come on son.

This is the exact farce that makes me sick, esp. when it moves the markets. Right after Icahn’s comments, the markets reversed and since then, the cautious approach has continued into today’s market action.

So is the market Over-Bought? Is the market about to Crash? 10% Correction?

All these are pure hypotheticals, and anyone who thinks that they can Time the markets, is merely delusional. Not sure of Icahn’s intentions, and neither do I care. The reality is, as long as you’ve got the Central Banks around the world flooding the markets with FREE Money, I wouldn’t bet against these BTFD Markets. Sorry.

Although, there are a lot of negative and bearish blogs out there that are extremely happy after listening to what Icahn had to say. Wishful thinking indeed; or more like a Propaganda machine churning out BS.

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Carl Icahn Might Be BAD News For Apple Investors

Well, The Exterminator finally revealed the size of his positions in Apple (AAPL) today, and it’s something that AAPL investors should really be afraid of. Icahn has a $1+ Billion position in AAPL, and depending on its price, could add some more. That’s a lot, especially if it’s an obnoxious fool like Icahn, who wont take NO for an answer. That to me is a big problem, more than anything else right now.

AAPL has thrived over the years by creating value for its investors through the development of high quality products that world has never seen before, which in turn results in high quality earnings. That’s exactly how any legitimate company should create VALUE. The problem is, Icahn is not a VALUE Investor; dude’s an Activist. Which means, he’s like a Leech, that’ll suck a company dry of its life source, and then move to the next HOST. It’s certainly a great strategy that has worked for him over the years, and that’s how he has made his wealth; by Bullying companies into making decisions that they wouldn’t normally make.

Here’s what I think will happen:

  • Icahn begins unloading his position as soon as AAPL breaks $700.
  • In the mean time, Icahn will bully AAPL into a Stock Buyback, of approximately $50+ Billion dollars.
  • Icahn completely exits his position at AAPL $1000.

Conclusion:

I request AAPL investors to be on high alert once AAPL breaks $700, as some unexpected volatility might cause High Blood Pressure.

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