The REPO Market Explained and How to Profit From It

The reason I have a blog is to document my journey and to share my thoughts and ideas. 

This is just a short post on what's going on in financial markets and what I'm doing to to protect myself and hopefully profit from it.

In a recent survey it was reported that 50% of all Canadians are only $200 away from debt insolvency. Most believe they will never get out of debt. They are borrowing on their credit cards to pay the day to day bills.

The middle class will soon disappear in my opinion and just the very poor who are totally reliant on government for a paycheque (OAS, CPP and GIS) and the top 1%. The other 99% will just get steamrolled out of existence.

The government is even coming for your house, There is talk on capital gains on your principal residence. We already pay some of the highest taxes in the world.

We are all composites of people we meet, listen to and mentor us through life. Very few of us are originals. We have been trained and mentored and become what we hope is a better version of ourselves or a person we really look up to.

I listen to a lot of people, read blogs and visit discussion forums. Here is George Gammon with a great explanation on how the debt market works and functions.

How to Profit From The REPO Market

Just what I'm doing, again not telling you what to do. Forget that. People get all tied in knots.

Buy some physical silver to protect the purchasing power of the money in your pocket which every day is being inflated away. We all know prices on all things has gone up and is going up every day.

This is just insurance think of it that way. This is the other side of the REPO debt market trade. I'm not saying you hang on to you silver for life. It's an insurance policy and a way for you and me to have a hard asset away from the banking system that will not get eaten away by the ravages of inflation.

Here in Canada I buy Silver Maples. Accumulate whenever and however you can. Protect yourself.

The Stock Market

George doesn't go into what to buy. 

The other side of the trade and where all the money is going is the big investment banks so they have cash.

So it would seem to me the banks are a buy at this point. I'm buying and have bought some U.S. bank stock. Again, not as a forever hold and they will be sold at some point. Don't fight the fed, buy the banks. You have choices. JPM. GS, MS and C. You don't need them all. Just pick one.

I'm also buying tech. As I said yesterday and the day before.

I'm Still Buying Because Stocks Are Going Higher

Good luck and I hope George's video explained the REPO market so we all understand it a bit better.

Nobody knows everything or anything at all. This just makes sense to me in the current environment.

How are you preparing yourself?