Safeguarding Your IRA's for the Next Market Corrections

What is the Market telling us for the next 1-5 years?


If you have 401K then try to emulate the investment strategy that is close to the following. It's tough because most companies 401K do not have true internationals -- they tend to mimic the US + Europe and possibly Asia with Japan. That is like sailing in a metal boat with 1 sail instead of a fiber glass boat with 2-3 sails.

The US and European markets are sinking in high unemployment, out of control govt debt and high tax burden that slows down capitalism. Asia and South America are brimming with natural resources they are willing to mine and sell. They are more energy independent than Europe or US because we are importing many of our oil from Venezuela and the Arab countries. That is just the type of economic anchor that weigh us down because many of the resources we have here in the US is not being used or explored due to political pressure from the "green" initiatives.


Poor efficiencies and higher cost of energy will cause American co's and European big corp to move their operations in more dangerous territories and to buy from China, Brazil, Chile, Australia, and other South east Asia. The growth is not in the 1st world country any more. China just surpass Japan as the 2nd largest economy this month. US is slowing down to a crawl in GDP growth and exponential Debt.


Don't be fooled by what's going on here in the US. In the next few months or in the beginning of 2011, there will be a market correction. All stocks and ETF's will go down but the bounce back for Emerging Markets are faster and higher than the US.

What I am doing now is looking into ETF's of other countries. They have many available now for any countries you want to search. But I am also doing a home base business so I can take advantage of the tax credits for business expenses. My husband and I are living off IRA distributions and Social Security. But the current tax rate hike in 2011 will cripple us because the IRS treats IRA distributions as regular income; therefore, we loose in the market and also get tax at a higher rate for the money we pulled out. Our CPA recommended us to increase our deductions with the use of home base business to write off some of the expenses in our home in the use of the home business and carry that over into our own personal income deductions. Speak to your CPA and find the facts about tax advantages of home based business.