Articles by Ron Wellman on ArticleSnatch.com

The Stimulus Package isn't Enough: What Should Have Been Done With the 2008 Government Bailouts

Wed, 27 May 2009 00:00:00 -0400

The recent stimulus package has been a topic of debate for many lately. Some feel like it's far too small, based on the gigantic bailout packages received by big business in recent months, and others feel like it's a slap in the face. The nerve of the government, giving us back such an insignificant portion of our own money! Why even bother? Personally, I fall somewhere in the middle of the two camps. The government has been so committed to giving money to big business, when it's the small businesses that make our economy thrive. If the focus had been on putting the bailout money back into the wallets of small businesses and average, everyday Americans, I'm willing to bet we wouldn't be in this mess. According to the Congressional Research Service (CRS), the total of the 2008 bailouts surpassed the inflation-adjusted amounts of each and every major war the U.S. ever took part in, from the American Revolution to the recent wars in Iraq and Afghanistan. The top ten major wars in our past totaled up to $7.2 trillion in current dollars. The cost of the 2008 bailouts? $8.5 trillion. **End Summary** Topics: recession]]> financial planning]]> investing]]> economy]]> stocks]]> bonds]]> stimulus package]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at http://www.weinvestonline.com

Physical Commodities as an Investment Option: A Smart Move in Today's Risky Economy

Wed, 27 May 2009 00:00:00 -0400

People have a tendency to put their trust in other people. When you're in the market for a new car, for instance, you might go to a dealer that your neighbor or close friend raved about after they made their last new-car purchase. When you get there, you may still be indecisive, but a warm, friendly salesperson wins your trust and offers you 'the deal of a lifetime.' Before you know it, you're driving away in a brand new car. And maybe you did get a great deal. Maybe not. Maybe you ended up paying a few hundred (or thousand) more than you should have because you didn't do your homework. In the grand scheme of things, what's a few thousand bucks out of your pocket? When it comes to your investments, however, that's another story. We're talking about a lot more than a few grand here... in most cases, we're talking about your life savings. Put your trust in one person (or company) and you could end up losing everything. I wonder how many people lost everything but the shirts off their backs when the Lehman Brothers investment firm collapsed a few months ago. **End Summary** Topics: investment]]> risk]]> commodities]]> financial planning]]> money]]> ]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at http://www.weinvestonline.com

More Valuable than Silver or Platinum: Choosing Gold as an Alternative Investment Option

Sat, 11 Apr 2009 00:00:00 -0400

In the face of current stock market woes, many investors are looking into alternative investments in an attempt to diversify and safeguard their portfolios. One of the best alternative investment options available today involves putting money into physical commodities, the most valuable of which is gold. I believe gold should be in at least one of the three piggy banks that every individual should have. The three banks that will make you rich with a balanced portfolio are: 1. Savings: saving for generational wealth. You never break this bank. 2. Investing: here you are looking for opportunity, you could afford to lose this money and still eat. 3. Giving: giving back to people less fortunate as yourself and causes you believe in. I will expand on this idea in future articles but right now I'll just say that I believe gold would be a good deposit for the 'investing' piggy bank. And I believe it is always a good investment for the 'savings' piggy bank as well, and I will explain why further in this article. **End Summary** Topics: investing]]> commodoties]]> gold]]> financial planning]]> investment options]]> investment planning]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at http://www.weinvestonline.com

Savvy Investment Options: Making the Leap to Gold

Wed, 18 Feb 2009 00:00:00 -0500

There are many panicked investors out there who have no idea where to safely stash their money in these troubled times. Expert investors and traders know several key facts about investing, which I'm going to share with you now. First, according to Larry Edelson of Money and Markets magazine, "Many of the lowest risk, most profitable investments are made when things look the scariest," or, as better said, "when it's darkest before dawn." Second, you'd be better off going with your own instincts and forging your own path. Followers never make it big in the markets. With that being said, let's take a look at some of the pressing concerns raised by investors these days. You may have heard of the Dow Jones breaking its own low points of late, causing you to wonder what that means to the stock market. First and foremost, you need to understand that the values you see quoted on a day-to-day basis for everything but gold are not true values. The reason is, quite simply, because the value of money often undergoes significant changes every single day. It's next to impossible for the average investor to keep track of these changes. **End Summary** Topics: Gold investment]]> investing in gold]]> investment options]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, visit his website at WeInvestOnline.com

God and Central Banks Believe in the Power of Gold; Do You?

Sat, 14 Feb 2009 00:00:00 -0500

An alarming amount of investors still do't believe in the true value of gold, even after gaining access to overwhelming evidence of its buying power. Central banks are steadily selling gold, but that's not enough proof for some that gold is holding its own weight in the economic crisis. In fact, people involved in Economic Engineering would lead you to believe that Central banks only sell gold so they can get rid of their cumbersome supply. They would tell you that gold is an ancient relic from barbaric times, a non-interest-earning expense that banks are just itching to unload on unsuspecting investors. They might liken gold to worthless lumps of rock that are taking up space in bank vaults. I beg to differ. According to the New King James Bible: "The silver is Mine, and the gold is Mine," says the Lord of hosts. Haggai 2:8) If it's good enough for Him, you'd better believe that it's good enough for us! Not only that, but in Revelations 21:21, we learn that "The twelve gates were twelve pearls: each individual gate was of one pearl. And the Street of the city was pure gold, like transparent glass. **End Summary** Topics: Value of gold]]> God and gold]]> Central banks and gold]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at http://www.weinvestonline.com

Long-term U.S. Treasury Bonds: Are They Worth the Risk?

Thu, 05 Feb 2009 00:00:00 -0500

Long-term U.S. treasury bills have always been a relatively safe place for investors to place their capital for decades at a time. That may no longer be the case in the coming months. Foreign investors face a risk of devalued U.S. currency, and foreign and domestic investors alike battle the risk of inflation. But this risk isn't stopping investors, who are snatching up long-term treasury bills in record numbers. In fact, the prices on long-term treasury bills recently jumped 19.9% in a single month. That drastic increase is unheard of in terms of treasury bills. To put that into perspective, consider the following: - The Fed Reserve was worried about deflation back in 2003, but bonds had what was then considered an enormous rebound of 13.3% in two months. - After the 9/11 attacks, amidst thoughts that the economy would take a nosedive, bonds started rallying. On top of that, the government cancelled 30-year treasury bond auctions under the presumption that making the bonds harder to access would cause prices to skyrocket and long-term rates to plunge. Unfortunately, though, this bold move only resulted in a 9.8% gain over the following 6 weeks. **End Summary** Topics: U.S. treasury bonds]]> investing capital]]> investment options]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at www.weinvestonline.com

Understanding the State of the U.S. Economic Crisis

Tue, 23 Dec 2008 00:00:00 -0500

Some of my other articles have touched on the enormity of the current credit crisis, but since this issue seems to be at the forefront of financial news lately, I'd like to take a minute to discuss the United States' situation in better detail. **End Summary** Topics: United States economy]]> economic crisis]]> credit crisis]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at www.weinvestonline.com

Gold as an Investment Option: Increasingly Popular, Steadily Smart

Mon, 22 Dec 2008 00:00:00 -0500

During these tough economic times, many investors are starting to panic. They've lost trust in the stock market but have no idea where to put their money. The problem is that many investors think their only investment option is the stock market. They may view alternative investment opportunities, take real estate for an example, as too risky. The bottom line is that they want their investments to be safe and smart, yielding positive results both now and in the future. After all, many of these investors are putting their life savings on the line. In the face of such unsure times, there is a sound solution: invest your money in gold and other precious metals. No matter what part of the world you call home, gold is a safe investment. According to NBI (National Bullion Investors, LLC), Gold prices will rise next year as the financial crisis pushes more investors into the precious metal safe haven. In fact, the gold industry expects bullion prices to hit $958.6 per troy ounce by November of 2009. Considering that current prices hover around $902 per ounce, we're looking at a hefty increase if trends remain the same over the next year. **End Summary** Topics: Stock market concerns]]> safe investments]]> investment opportunities]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., a real estate concierge company specializing in high quality, luxury investments and alternative investment opportunities for today's sophisticated investors. For more information, please visit his website at http://www.weinvestonline.com

The Inevitable Transition from Dollar Bills to Gold as Currency

Mon, 22 Dec 2008 00:00:00 -0500

Gold is one of the safest investment options available these days, but not many people are jumping on the bandwagon. The reason is simple: we've gotten away from using gold as currency, so people just don't think of gold as real money. Paper money was initially issued in 1785 as an easy-to-use substitution for gold. At that time, the dollar, which was backed by gold under penalty of law, was created. In fact, President George Washington touted the importance of backing the national currency with gold or silver, and he even contributed some silver from his own private stash for the first coins minted. America first switched to fiat money, which is currency that isn't backed by a physical commodity such as gold, in 1862. These dollar bills, otherwise known as Greenbacks at the time, were basically IOUs issued by the federal government to help pay the overwhelming expenses of the Civil War. Along with paper bills, the government also issued Gold certificates, which reinforced the government's promise to repay the bills in gold at a future date. **End Summary** Topics: Gold currency]]> dollar bill]]> U.S. currency]]> fiat money]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at www.weinvestonline.com

Safe Bets for Your Investment Portfolio

Mon, 22 Dec 2008 00:00:00 -0500

In these uncertain financial times, governments and financial institutions across the world are snatching up US short-term T-bills, or treasury bills, to safely store their capital. Many large institutions consider T-bills to be a safe bet among the global equities that are crashing all around them. They're seeking out a safe place to hold their capital until their confidence in global markets returns to normal levels. This situation makes me think of people who nervously stockpile enormous amounts of water and canned goods when faced with the possibility of catastrophic events. They want to be prepared, just in case their worst nightmares come to life. But US T-bills are only a temporary fix, and some experts are wondering where that money is going to end up once the T-bills mature. In his article titled, "What's Going on in Gold," Alex Stanczyk states, "If the money flows back into equities, we may see a return to something semi-resembling normalcy. If confidence has been damaged to the point where that doesn't happen, I expect to see a good chunk of it flowing into gold and silver. **End Summary** Topics: Gold investments]]> US T-bills]]> safe investments]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at www.weinvestonline.com

Signs of Hope in Troubled Economies

Mon, 22 Dec 2008 00:00:00 -0500

If you're keeping up on the buzz in Washington regarding the current financial crisis, you know that Alan Greenspan recently called it a "once in a century credit tsunami," and you're also aware that a new stimulus package is being strongly recommended by Federal Chairman Ben Bernanke and House Speaker Nancy Pelosi. In fact, in an effort to convince the government to shell out another $150 billion in bailout money, Nancy Pelosi proclaimed, "I call on President Bush and congressional Republicans to once again heed Chairman Bernanke's advice and as they did in January, work with Democrats in Congress to enact a targeted, timely and fiscally responsible economic recovery and job creation package." Let's not forget that this recommendation is in addition to the $170 billion plan that handed money to Americans earlier this year, the recent $700 billion package to bail out struggling banks, the $85 billion lifeboat that saved the drowning AIG, and the list goes on. In case it makes you feel better, our country isn't the only one throwing money at its institutions' financial problems. **End Summary** Topics: Economic struggles]]> financial crisis]]> economic recovery]]> global economy]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at www.weinvestonline.com

The Catastrophic Consequences of America's Economic Crisis

Mon, 22 Dec 2008 00:00:00 -0500

The current U.S. financial crisis is much worse than anyone's letting on. David Walker, the United States' comptroller general, has been sounding the warning alarm that things will quickly go from bad to worse if we don't do something, and soon. In fact, Walker recently revealed in an interview with Steve Kroft, I would argue that the most serious threat to the United States is not someone hiding in a cave in Afghanistan or Pakistan but our own fiscal irresponsibility. A shocking statement, especially coming from America's top accountant, the man who keeps our government's books and knows better than anyone else the true state of our country's finances. Walker adds that America is suffering from a fiscal cancer that will cause catastrophic consequences if left untreated. He warns that if nothing changes in the next thirty years, the federal government will be so consumed with paying interest on mounting debt and entitlement benefits like Medicare and Social Security that it won't have much equity left for other necessities, such as national defense, homeland security, and education, to name a few. The federal government isn't the only one struggling financially; **End Summary** Topics: America's economy]]> economic crisis]]> financial struggles]]> smart investments]]>]]> About the Author: ]]> Ron Wellman is the founder of We Invest Online, Inc., an Investment Concierge company specializing in high quality real estate investments and alternative investment opportunities for today's sophisticated investors. For more information on how he can help you make informed investment decisions, please visit his website at www.weinvestonline.com