VRA CRASH ALERT: THIS E.L.F.E. JUST MISSED IN 2008. WE MAY NOW BE JUST HOURS AWAY...
/VRA CRASH ALERT: THIS E.L.F.E. JUST MISSED IN 2008. WE MAY BE JUST HOURS AWAY FROM..."A DIRECT HIT"
(note from Kip: Predicting the exact day/week of a crash is never easy, never simple. However, beginning on Monday of this week (12/7) I issued my first 3 Crash Alerts since 2008, when the Dow Jones lost 56% of it's value...second only to the Crash of 1929, when the Dow collapsed 86%).
* If the VRA is Correct (again), The Coming Crash Could Take the Dow Down More Than 10,000 Points
In 2008 an E.L.F. E., or Extinction Level Financial Event, came very close to destroying the world's investment markets. In the event you may have forgotten, this should ring a bell; following several weeks of panic selling in the worlds stock markets, Treasury Secretary Hank Paulson went to his knees before the countries top elected leaders and begged...literally...for an unprecedented financial bailout.
Paulson's warning was clear. Unless the bailouts were rushed through, within mere days our entire financial system would face systemic collapse...one that it may not recover from...an "extinction level" type of implosion. The end result was TARP ($700 billion taxpayer funded Wall Street/Bank bailout), quickly followed by the FED's launch of Quantitative Easing, which reached $3.5 trillion in US bond purchases/fiat currency printing (bonds that the FED still holds today, no less).
FLASH FORWARD TO TODAY:
Now, just 7 years later, the world is buried in FAR more debt than in 2008. Of immediate concern is the gargantuan size of today's high yield debt market...junk bonds...which have exploded to $1.9 trillion in size, just in the US. Folks, just 5 years ago, the total size of the junk bond market was a "mere" $800 billion. The added $1.1 trillion in junk bond borrowing has come from derivatives fueled financial engineering...allowing the wealthiest of the wealthy to use their corporations as "personal playthings", for everything from the largest expansion in global oil/gas drilling in history (most with oil over $100/barrel...it's just $36/barrel now), to massive loan increases for all commodity classes across the board, to more than $100 billion in share repurchase programs...all on borrowed money.
MAKE NO MISTAKE ABOUT THIS: With oil, copper, iron ore, etc., collapsing right before our eyes (at 7 year lows and growing quickly), not to mention that the Baltic Dry Shipping Index, which just sunk to fresh ALL TIME LOWS...the junk bonds used to finance these projects are very near free-fall, with yields in several closely watched junk bond funds skyrocketing to 24%, just yesterday.
DEATH SPIRAL: In just the last 48 hours we have learned that two large junk bond funds, 3rd Avenue Asset Mgt. and Stone Lion Capital...with assets totaling over $3 billion just a month or two earlier...have frozen ALL funds. Without a single advance notice to fund investors, they learned the hard way that beginning immediately, any and all investor withdrawals would be suspended. It's likely that any amounts recovered "might" reach 50 cents on the dollar...and even that paltry amount is dependent on the junk bond market recovering. But here's the problem...things are only getting worse. In fact, the second fund to announce closure (Stone Lion) only announced this AFTER the market closed on Friday. That's "after" the Dow had already lost more than 300 points...meaning that Monday could be a bloodbath, both in the credit and equity markets.
Not to scare the hell out of everyone (because we are making a fortune as the markets get clocked), but the junk bond crisis that's just now kicking off, may not even be the worst news of the day. Consider:
1) This week, the FED is expected to raise interest rates. Just 11 days before Christmas no less, and for the FIRST TIME in almost 10 years. Merrill Lynch estimates that merely a 1/4 point rate hike will remove $800 billion from the US economy...but Yellen and team are locked in. In fact, should they change their mind once again on rates, the further loss of FED credibility might even be worse for the markets.
2) This FED rate hike is coming at the same time that global markets/currencies/debt are plummeting, global economies are signaling fresh recession fears, and the US is in an ACTUAL earnings recession (with back to back quarters of negative earnings growth).
3) All of this is coming when we are at war with radical Islam, and with the Middle East on pins and needles. I don't have to remind anyone of 9/11/01...or what might happen in our markets should an event of equal size (or God forbid, worse) take place.
VRA BOTTOM LINE: Over the last two years, the VRA Trading & Investing System has produced "net" gains of more than 1800%, with 2015 gains to date of more than 730%. We know of no one that has done better. I have had my subscribers positioned perfectly for this "Crash Alert", and should we get an Extinction Level Financial Event, our fresh gains will almost certainly top 1000% in the madness to come.
After 30 years in the market, I know the pain that investors experience during bear markets. Should this one take more than 10,000 points off of the Dow Jones, most will simply not survive financially. And folks, this does not include the additional losses in employment and future economic upheaval.
The sum of all fears is that this junk bond, credit market implosion will spread to government debt markets. You see, the FED used up just about all of their ammo while bailing out the world in 2008/2009. The next question might just be; "who is going to bail out the FED?"
Here's what is included in your VRA Subscription:
1) Daily updates...at minimum. In many cases, 2-3 updates/day. Subscribers have full access to all VRA Updates, going back to 2005.
2) Clear and specific trading recommendations. You know exactly "what" to buy/sell and exactly "when" to buy/sell...delivered directly to your inbox.
3) We make money as stocks rise...and we make money as stocks fall. Just as it is supposed to be. We use investment vehicles that allow us to crush Mr. Market, from leveraged ETF's, to international opportunities that trade in the US, to small cap growth stocks. We are not day traders, but if we can make 50-100% PLUS on a specific trade, we take a serious interest in that opportunity...whether the holding period is a month or a single day.
LIMITED OFFER:
For those interested in joining us, simply reply back to this email with "I AM IN" in the subject line.
Our price of $998 for a 12 month membership (75% savings) will be in place until this Tuesday night (12/15). I highly encourage you to act quickly....this market is at HIGH RISK.
Simply reply back to this email with "I AM IN" and we will reply ASAP with instant membership/payment instructions. My team and I are working overtime, all weekend.
Continued Investment Success...Stay Frosty
Kip Herriage
VRA Publisher/Editor (2003)
