Local Stock Exchanges and Micro-Equity Investments
Sarah Kuck, 3 Feb 10
Over on Small-Mart: Ideas and Tools for Building Healthy Local Economies, economist Michael Shuman is talking about a different way to stimulate the U.S. economy: local stock exchanges and micro-equity investments.
In his article, Local Stock Exchanges and National Stimulus, Shuman makes the case for reforming old laws that could open up local businesses to local investors.
Outdated federal securities laws have left Main Street dangerously dependent on Wall Street, and overhauling them may well be a key to economic revitalization. The good news is the local businesses could get a huge investment boost with some modest securities reforms that would cost little or nothing.
It's a thorough piece that does an excellent job of explaining why and how local stock exchanges might work, and why they don't exist today. For more thoughts on how the U.S. can nurture local economies and micro-equity, head to Small-Mart.org.
Hat tip to Alex's Twitter feed (@AlexSteffen) for this great resource
I don't profess to know everything about all topics of investing... so my question to contemplate in making any investment decisions is "does it counter-act the decline of the Dollar?" As with any investment these days, that is my main concern.
In my search, I have found that only gold truly counter-acts the decline of the U.S. Dollar. Since the Euro was established, although it is only back by gold 15%, it has by far outperformed the U.S. Dollar and, since the U.S. Dollar is not backed by gold, it has lost it's value and continues to lose its value. So far, the only investment I have found to truly counter-act the fall of the Dollar is by literally backing yourself with gold.
To be specific, U.S., investment-grade gold and silver coins, so it's not just bullion, which value is derived by way of its weight, but also the collector's or "rarity" value. In other words, gold bullion's value is based on it's weight alone, whereas an investment-grade gold / silver coin's value would also be from their rarity value, in addition to their actual weight in gold and silver.
Lastly, the primary reason to look at coins as an investment, at least for me, is their privacy level, because no one has to know that you have them. They are not reportable, as most other investments. I am a client of and highly recommend Gold Run Investments for their expert advice as well as the best pricing structure. They have educated me to the point where I believe I have a good understanding now in the difference of several different types of gold investments.
For more information, go to GoldRunInvestments.com. Don't ask for me, because I am not a part of their company, I am just a very happy client and will continue to invest with them because they have the lowest prices that I have found, after contacting several of the firms, and the savings has gone right back into my investment portfolio for a higher return on my investment, which is why I tell everyone I know.
If you have questions, talk to their experts. They will explain everything without making you feel ignorant. It was a process for me since I used to invest in gold stocks, but then again, learning how to invest in stocks was a process for me, too. Best of luck to you in protecting yourselves and your family.
Posted by: Chuck Yuan on 15 Feb 10
Please note that comments will remain open for only 14 days after the article is posted. While previous comments will remain visible, attempts to post new comments after this period will fail. This helps stop comment spam, so your forebearance is appreciated.
The Worldchanging comments are meant to be used for further exploration and evaluation of the ideas covered in our posts. Please note that, while constructive disagreement is fine, insults and abuse are not, and will result in the comment being deleted and a likely ban from commenting. We will also delete at will and without warning comments we believe are designed to disrupt a conversation rather than contribute to it. In short, we'll kill troll posts.
Finally, please note that comments which simply repost copyrighted works or commercial messages will be summarily deleted.
