Profiting from the collapse

As we are all now well aware, the US dollar collapse is upon us. It will happen sooner or later.

With that said, is there a way that we can profit from our impending doom, to come out on top?

In 2008 I made a lot of money when I bought stocks when there was "blood in the streets". I bought at the bottom and rode the wave.

I sense that the the housing bubble is set to burst again very soon. We can all see this dramatic inflation. I purchased a reverse real estate stock that goes up if the real estate market crashes. Its ticker symbol is DRV. There was a point where a single share was more than 100k. It is now at $32 dollars, which is the cheapest it has ever been.

I often get tantalized by Doug Casey's International Man spam in my Inbox. He talks about profiting off the of upcoming collapse. I have never actually purchased his product because it's ridiculously expensive. But I think he's correct as far as there being opportunities to profit off of coming soon.

Does anyone else have ideas about how we could profit off of the coming collapse? If we are going to have to endure this hardship, it would be good to have a plan to come out financially secure on the other side.

 

This is Doug's website. He has some interesting ideas. The Great Monetary “Reset” of 2022

 

One thing I wonder about is if the dollar goes to 0 value, what happens to stocks that you own? Will the value of the stocks be worthless? Or will stocks maintain value because they are not technically US dollars? They are stocks.

 

Another thing I'm wondering is if it might make sense to exchange our worthless dollars for Rubles now. Russia is no longer using the US Petro dollar, and they are backing Rubles with gold. Maybe it makes sense to exchange our worthless US dollars for Rubles now before the collapse of the US dollar?

 

Another thing I wonder is if it makes sense to buy non-gold/non-silver metals such as copper, steel, aluminum, ect. Those items always hold value. I'm not sure where you would store commodities like that. They would certainly take up space. But something like raw steel is always valuable.

 

What Caused the Stock Market Crash of 1929?

I'm old fashioned. I like to feel my money. Mainly Gold,Silver and Lead. The oil field was very good to me after I wised up and quit spending my money in the bar on Friday nights. I've converted my assets into the above along with tangible goods. Granted they may not make much interest, but they don't lose any either. The local banker probably thinks we're one of the brokest folks around-and that's just fine with us. When I need to purchase something on line, I go and add that amount to the account. The rest stays here where I can keep an eye on it...

 

Sell lots of silver, gold, ammunition, weapons, ect.

 

Im like above , with 2 new birds this year , purchased last year , that was different , but the same as above with TM
Sloth

 

Buy land!
We're seriously looking to add once the bubble pops, lots of foreclosures gonna happen,ight as well ride the wave and make some coin on it! Word has it there are a few farms in our area that might not make their bills and be forced to sell, if that happens, we're gonna jump hard and fast!

 

If the housing bubble is about to pop buying land now would be bad.
Rual land is about as hot as its ever been.

What's a good way to get some of that DRV stock?
I just got a new job with a defense contractor and my retirement fund right now is to buy their stock. I don't think there is anything like an inverse real estate stock in their retirement fund program.

 

I have no plans to sell any of the above-at least for now. I've bought low and now they're high. But high in FRN's only. Don't get me wrong, I deal in paper when I need to, but I never touch the reserve. Everything I've invested in has gained in value-gold, silver, lead and old equipment. FRN's don't lay off the rows, but that 'ol Super A sure does..

 

Have some to keep and have some to trade.
Once I realized how inconvenient it was to off load ounces of gold I divested of it. I knew by 2014 but didn't act on it.
Silver is a lot easier to off load and is more useful.
Platinum has the same problems as gold but is way more useful.
Gold is really only useful for 1 thing within earth's atmosphere.

 

It's a hard call. I'm all for taking advantage of an opportunity-esp if the guy is an arsehole, but if it's a good guy I've never been able to bring myself to take advantage of their misfortune.

 

I am on the fence on that one. If it is going to be lost it is going to be lost and someone will capitalize on it. It may as well be you, better than a investment group or developer.

 

In the case of the farms, I know the families, and would give them first right of refusal if they can get their feet back under them! I wouldn't be loosing anything, and shoring up relations isn't a bad thing!

 

You can purchase DRV on TDameritrade.com or Fidelity. I use both of those. I think it's a good hedge against the housing market. There's obviously no guarantees with anything. I look at it as a lottery ticket. But I think the odds are much better.

I think there are tons of things like this out there. I'm just trying to source ideas from folks on things to invest in like this. Once this market crashes, there will be a lot of things on sale. However, if the dollar isn't worth anything, it won't be easy to buy them.

I've also been reading about food shortages. Biden even admitted to this being a calculated thing. They gov't has been actively burning down food plants -- I think they've burnt down like 20 since the start of 2022. They've also stopped shipment of fertilizer to farms via train, and it's too heavy to ship via truck. So farmers won't be able to plant this summer, and this winter things are going to get ugly. Think food riots. Think gang warfare in urban cities. MadMax scenario is not out of the question. If it takes a wheelbarrow full of US dollars to buy a loaf of bread, things are going to get ugly.

Unfortunately, I live in Massachusetts. I think this state is going to get leveled. Not sure if I'll make it through, but going to try my best. I did a ton of research into relocating, but never pulled the trigger.

If rural land prices drop dramatically during the collapse, I'll try to snatch some up. Right now I can't afford anything. Too high.

 

I'm actually just put in an offer on a small 2 bedroom house in our states capital city.
Had I put the offer in 2 years ago, I'd be offering 15k less.
WTF would i actually do that now?
Easy, My youngest child got a scholarship to university, it covers about half of tuition. but none of the room and board.
So, I've got the down payment for said house, child and college friend are going to live there for 2-3 years and pay the house payment.
House payment with everything included (P/I, Insurance, taxes) is 6k per year vs. 15K room and board at the university. Other option would have been 12-18k per year apartment rents.

So yeah, buying a house in this market does sometimes make sense as long as i don't over pay.
Plus, rent in the area for a 2 bedroom house is like 1200 bucks.

So once they are done with college, I get to be a landlord and by that time the house will actually be paid off.

 

I posted a similar thing on another thread and received an interesting response. Thought I might post it here as well:


A couple comments:
DRV is a 3x leveraged inverse ETF - they degrade very fast, it's meant for short term trading. If you hold it long term it'll lose value even if the underlying investment goes down. REK is the 1x inverse version, this is the much safer one for long-term holding. The other problem with 3X ETFs is they tend to get broken when times are volatile, like real estate might crash, but the 3X short ETF will not respond as you expect. I wouldn't touch those personally unless you're day trading or holding it a week max.

If you think the dollar is collapsing, you want to own real estate, not short it.

There are lots of good podcasts for this kind of talk. Some entertaining and some useful for investable ideas. Some good ones you might like:
Turning Hard Times Into Good Times
Macro Voices
The Rebel Capitalist
Financial Survival Network

Doug Casey appears sometimes on some of these.

I'd recommend gold mining stocks as the best choice - commodities are good but at risk of recession/depression - those won't hurt gold and may actually benefit gold. The Ruble isn't backed by gold, Russia has only talked about it, they haven't taken any action. I'd buy gold rather than the ruble. But gold won't make you profit, it'll just keep its value vs the dollar. If you want to profit you need gold or silver miners.

Also gold doesn't need the dollar to crash to do great, both can go up. The dollar crash is probably years away, not weeks or months away.

 

I'm of a different mind with DRV stock ( you can buy it on Robinhood as well)
Be careful with this one.
Yes, it's leveraged 3x and if the market crashes you can make a boatload.
But, it only has a market cap of 27 million dollars and only trades 147k shares per day.
There are only 850k shares total.
that is an illiquid market.
Carefully start reading page 231 of their prospectus. If you don't understand what they are talking about when it comes to illiquid securities and derivatives and that holding this instrument as a long term portfolio position this may not be for you. Also after looking at their total return chart on page 237 showing your portfolio performance if you decide to hold the product, you might be in trouble. This is not a buy and hold stock, this is a derivative (or a bet) against only 4 stock indices. And the other end of the bet may or may not be willing to pay you off ...
Then there is the nightly rebalancing ... gotta hope someone is going to someone is going to buy what they are selling or in the morning you could be in for a big surprise.
So buyer beware.

 

Thanks for this advice. I'm not sure I understand all that stuff. I'm far from a stock expert. You sound like you have a lot of expertise in this area. Do you have stocks that you would recommend instead of this one?