Happy New Year 2010

What the Extremely Wealthy Are Doing

The year 2010 is now here!

What are your economic plans? Have you made any? If not, you should.

I recently heard Kevin Trudeau, a multi-millionaire, talk on radio. He said that he knows someone who put $8,000,000,000 (that's 8 BILLION) into gold. He also knows of another very wealthy man who put 3 billion dollars into gold quite recently.

What they told Kevin is, they can afford to lose 30% of their money, but they can't afford to lose 70% of their money. In other words, the most that they will lose by putting their money into gold is 30%. If they put their money into stocks and other paper assets they could lose 70%.

Though your net worth is much less than a billion dollars, ask yourself this, can you afford a loss of 70% of your money? If you are like me, as small amount would be devastating.

You must put your money where it's safe.

Now, before you go out and buy gold coins or bullion, consider the wealthy men who bought gold. Also, consider Kevin Trudeau, too. You can be sure that these men have homes that are paid for. (They probably have several mansions that are paid for.) These people put priorities first. They made sure that the home that they are living in is bought and paid for. It might not produce the returns that they are looking for, but at least they are not worried about the bank collection agencies coming to their doors.

Another great asset is money in a home. Sure, it might go down in price, but at least you have a roof over your head. And one thing you can bet on is, the value of your home will not fall as much as stocks have done – even Blue Chip ones.

Here's great home in Conoocoto, Ecuador.