"Derivatives - the 'global Vesuvius of debts and bets' that we have been warning about since 2006 is beginning to erupt," says Martin Weiss.

The editor of The Safe Money Report explains, "The time is now to build cash and the best place to put it is in United States Treasury bills or equivalent." Here, he looks at the benefits of Treasuries and the various ways that investors can add them to their portfolios.

"We now have overwhelming evidence of a severe recession. And we have a solid confirmation in the stock market itself. But we also forecast that the Fed would fight back, and do so aggressively, fomenting an
inflationary recession.

"They're pumping in massive amounts of money, trying to calm markets and seeking to avert a recession. But it's too little, too late for the economy. And it's too much, too soon for the already-shaky dollar. *Result: Gold has surged along with other commodities.

"And consumer price inflation, long a side-show on the American scene, is now surging back. Our urgent appeal: If youhaven't done so already based on our earlier issues, the time is now to shift from complacency to protective action ... from bull-market plays to income opportunities ... from risk to safety.

Continue reading Safe Money seeks safety in Treasuries

Safe Money seeks safety in Treasuries originally appeared on BloggingStocks on Mon, 10 Mar 2008 12:36:00 EST. Please see our terms for use of feeds.

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"If you live in the US, most of your portfolio is probably denominated in dollars -- your Treasuries, stocks, even gold. The same is true for your bank accounts, real estate and insurance policies," explains Martin Weiss and Mike Larson in Safe Money Report.

"That's natural, and we don't recommend turning your financial life upside-down to switch all of your money to foreign-currency denominated accounts.

"But you can protect yourself -- and even profit from -- the dollar's decline with Prudent Global Income Fund (NASDAQ: PSAFX). Here's why we like it and have selected it as our favorite conservative idea for 2008:

"First, the fund holds mostly fixed-income securities denominated in foreign currencies. Roughly 70% of its investments were in foreign debt at the end of the third quarter, with the euro, Swiss franc, and Canadian dollar receiving the largest allocations.

"Second, its fixed-income securities are predominantly under three years in maturity. This gives you reduced exposure to any bond-price declines.

"Third, the fund concentrates on the highest-rated debt, such as government securities. And as an extra dollar hedge, 11% of its assets were recently in gold and gold shares. They tend to rise in value when the dollar falls. "

Best Stocks for 2008: 'Prudent' pick with Prudent Global Income (PSAFX) originally appeared on BloggingStocks on Sat, 29 Dec 2007 10:30:00 EST. Please see our terms for use of feeds.

Each year Steven Halpern, editor of TheStockAdvisors.com, surveys the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is part of his 24th annual Top Picks Report.

Prudent Global Income Fund (PSAFX) is the favorite conservative idea for 2007 from Martin Weiss. The editor of Safe Money Report explains, "The dollar started falling sharply late last year, stabilized a bit this past summer, and is now getting shredded again.

"The main reasons are that we are running gigantic trade deficits month after month after month, and that we owe more to foreign creditors than at any time in history. In addition, our economy is sliding -- while others around the globe are powering ahead.

"This is a big deal in the currency world. International portfolio managers are constantly shifting funds to economies with stronger growth and higher interest rates. If U.S. rates come down a bit -- or even remains flat -- while rates overseas climb, these investors could pull out of the dollar in droves.

Continue reading Top Picks 2007: Weiss offers "Prudent" play on global income

Top Picks 2007: Weiss offers "Prudent" play on global income originally appeared on BloggingStocks on Sat, 30 Dec 2006 14:30:00 EST. Please see our terms for use of feeds.