The Best Investment for these Times of Turmoil

The last few months have been chaotic for me. I've spent hours listening to videos by @jerrybanfield @jeffberwick, Cliff High and many others. Long story short, I no longer feel comfortable having my entire retirement savings in mutual funds and a few CDs like they have been until now. Sure, the stock market has been performing well... but unless you've had your head in the sand, you're probably aware this is the second longest "bull" run (and the weakest by the way) in market history, and it's more likely to crash with every day that goes by.

Not only my 401K and Roth IRA, but actually I've been rethinking how to allocate my entire net worth. Crazy, right!? Gone are the days where I'd idly sit and be happy with the nice balance in USD in my Ally savings account earning 1% (which is actually considered "good" by today's standards). I think there is a very real chance that fiat currency could collapse (that could be a whole other post, maybe for my next one... 😉 and even if it doesn't collapse, there's always long term inflation.

Never know if this might happen someday...

Ok, so my money isn't safe in USD, and I don't feel it will be safe in the stock market for too much longer....sooo....

This is why I've been looking into alternative investments. I'll share here the rough percentages of where my net worth is allocated. I welcome your comments or suggestions!

30% Real Estate - I own a property for investment. It's in a good location in a university town, so it will definitely rent every year. I am, however, considering selling now since the real estate market is hot, and it could also collapse if the rest of the economy tanks.

10% Cryptocurrency - About 75% is Bitcoin, 5% Litecoin, and the rest is spread out among a bunch of others.

15% Gold and Silver. I probably have around 50/50 gold to silver, although I wish it was more like 70/30 favoring silver to gold.
Silver, although no longer in the $15 range, is still an incredible buy (again, that could also be another post!)

20% Stocks - Although I'd still like to have some money in the stock market (an S&P 500 index and a few other low fee mutual funds), I still think this is too high. Unfortunately it's in my 401K and as an employee I can't do anything else with it.

5% Lending Club - For those of you unfamiliar, this is a peer to peer loan site. I've had huge success the last few years (again, future post topic!) earning over 7% annually with the more conservative p2p loans. Although this is completely independent of stock market, I still have my doubts for the long term because if the market /economy crashes big, a lot of people might lose their jobs and therefore won't pay back the loan. I'm slowly taking money out of here too.

20% Greenbacks - $USD

No matter what you think, if you're an American - or a citizen of any country - it still makes sense to have a significant amount in your government's currency for the time being. Let's face it... as much as we talk about living off cryptocurrency and being free of government money, we all still live in the real world. At least for anyone living in a city.. maybe if you have your own farm or shack in the woods somewhere you don't need money. Like Mark Boyle, a highly intelligent guy who intellectually decided one day to live without money (if you're interested, see: http://www.moneylessmanifesto.org/)

Here's his TED talk, fascinating stuff

If I do end up selling my house, I plan on putting a chunk of the profits into silver, and maybe a bit more cryptocurrency although I'm a bit nervous to put in too much more than I already have invested there, just because it's so volatile.

I'd love to hear your thoughts....

-Do you think I have a good asset allocation ratio now?

-How do you have your financial assets arranged?

-Do you think selling the house is a good idea?

-Can you recommend any other alternative investments?

Thanks in advance, looking forward to hearing what you have to say! 😃