Kerry Lutz's--Financial Survival Network (general)

Mickey Fulp, the Mercenary Geologist, says that 2012 will be a big year for gold, silver, mining companies, and commodities, including energy. Mickey knows from whence he speaks. He's been a professional freelance geologist for decades. When it comes to picking junior miners on the fast track, Mickey has a simple method of assessing their prospects. He goes to resource shows around the world, sits down with senior managers and asks the tough questions--and this is exactly what is needed. Mickey amusingly quotes Mark Twain's 100 plus year take on mining companies, "A mine is a hole in the ground with a liar standing next to it." Those words are truer today than ever before. Most new mining ventures, just like most startups end in failure. The key is picking the 10-15% that have the management expertise, ore quality, and proper capital structure.

While this sounds difficult, Mickey has been doing it forever. The other factor is buying low. Many junior miners will double and then lose 50 percent within the course of a year. So if you purchase the right company at the right time, this is a sure fire prescription for profits. Then after the company doubles, simply sell half and take your money off the table. What could be simpler?

Please send your question to kl@kerrylutz.com or call us at 347-460-LUTZ.

We're back on with Jeb Handwerger to discuss "The January effect," and how to pick the best mining stocks. According to Jeb, gold and silver miners will rise again in 2012, and the time honor trope regarding the month of January reigns true as the first week of the New Year shows stocks opening on a bullish note. When asked about the best gain for 2012, Jeb says investors must look at undervalued junior mining natural resource assets--he recommends companies with strong financial positions that are progressing toward a stage of mine development.

As you're all aware, the Euro has been breaking into new record low levels. While many are concerned, Jeb states that there is a Golden opportunity for mining stocks emerging in this Eurozone crisis. While many people are concerned going into the dollar with long term treasuries, the major mining companies are looking to transfer their growing cash positions into undervalued European natural resource assets. As the Euro sinks into new lows, European mining capital is flowing in the right direction as miners costs are going down and margins are going up. 

As we look into precious metals as the true base for currency, we're going to need the mining companies to produce more. Demand has not subsided; in fact, we're in a bull market regarding gold and silver--the trend has not been violated. Although gold finished higher for the last 11 years, Jeb really likes silver for out preforming gold in 2012. Regardless, it looks like this is going to be an up-year for gold and silver mining stocks. You should stand strong--this is not a time to sell for pennies on the dollar!

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

Ranting Andy is back, relaxed and a little calmer after the new year. We got right down to business. Bob, a listener wanted to know why there's no apparent shortage of silver in the marketplace now. Andy explained that while the paper prices were certainly depressed, the current premium on Eric Sprott's Physical Silver ETF has hit a new historic high of over 30 percent. Sprott's ETF is unique in that holders are permitted to convert their shares into physical silver. This means that investors are willing to pay higher premiums than are charged by metals dealers in the physical market. And those physical premiums have been on the rise as well. So when it comes to price and supply of silver, there's a lot more to the story than meets the eye.

And then of course, there's the fact that no publicly traded markets are functioning properly at the present time. They may have been mortally injured by governmental and large bank manipulation as well as an undermining of confidence by the MF Global collapse. No matter how you figure it, zero percent interest rates, off balance sheet gimmicks by the government and the large financial groups and collapsing asset values, there is no longer a means of determining objective values. The markets are now a ponzi scheme that are used to seperate unsuspecting marks from their cash. 

Please send your question to kl@kerrylutz.com or call us at 347-460-LUTZ.

Cyrus a devoted listener to the Financial Survival Network asked several questions. And this is one of the great things about doing a show, listener feedback. Have you wondered what the US will look like if there’s a complete economic meltdown? Or how much longer it will take? What about the government’s willingness to bring on a false flag attack to justify going to war once again? And if that war does come to pass, will it be a World War or just another case of military adventurism?

These are all important questions for which you will receive my opinions. We love listener feedback and urge you to call or write us. We’ll probably read your question live or play your voicemail message. So keep the questions coming.

Please send your question to kl@kerrylutz.com or call us at 347-460-LUTZ.

Zerohedge.com is one of the best financial sites out there. They have the insider track on so many issues and have a full depth understanding of the fraud and theft that has been taking place in our financial system for way too long. They believe that Dr. Ron Paul has elevated the presidential debate by raising important issues such as geometric growth of debt, ceaseless money printing, the gold standard and much more. 

However, to the casual observer, it appears that Dr. Paul has been marginalized by both his election opponents and the main stream media as well. While he had a respectable showing in the Iowa Caucuses, further successes are questionable and less likely. Whereas he has gained somewhat of a following, especially among the younger people, we suspect that his  affect upon the ruling elite and the population at large will show itself after the grand collapse has occurred. 

Please send your question to kl@kerrylutz.com or call us at 347-460-LUTZ.

A short tribute to man's best friend, my constant companion for the past 14.5 years, a true loyal friend whom I shall eternally miss. Baily, a female border collie, expert herder and all around great dog. She suffered on for many years because she just couldn't stand the idea of leaving us. She was always on guard for any potential threat, be it wolves, coyotes or bad people. She was smart, full of life and always ready to help out. 

R.I.P. Baily Lutz!

Please send your questions to kl@KerryLutz.com or call us at 347-460-LUTZ.

We interviewed Rick Ackerman yesterday, and he hit us with his prediction that the dollar was headed up. However, he was emphatic this was not an indication of the dollar’s fundamental health but rather a sign of the Euro’s impending slide. The buck is “The best looking horse in the glue factory.” Unfortunately, while misery may enjoy company, it doesn’t make anyone any happier.

These are exciting times in which we are living, and there is an end to the major eruptions that we are witnessing. Rick’s hidden pivot system can help keep you ahead of the trend and ready for the next Black Swan.

Feel free to write us at kl@kerrylutz.com or call 347-460-LUTZ.

Some of my best thinking takes place at the gym; it must have something to do with the enhanced oxygen supply and the high level of endorphins. While doing cardio and aerobics, it suddenly dawned on me that what the world needs is a special bankruptcy court, just for countries. That way, when a country becomes insolvent, they would do what companies and individuals have been doing for hundreds of years, file Chapter 11 (a reorganization plan). When things are really bad they could file a Chapter 7 and simply liquidate the country and go out of business altogether.

It really makes total sense. A trustee could be appointed to make the decisions that politicians just can’t bring themselves to do. Like reducing excessive retirement benefits for government workers, or drastically reducing entitlement programs. The current system is failing so an alternative must be found shortly. Perhaps this is it.

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

Andrew Horowitz (TheDisciplinedInvestor.com) has been investing most of his life, but he's not locked into any one type of investment. He's concerned about politicians whose attitudes are to avoid unpleasantry today, in order to enhance the odds of electoral victory tomorrow. Horowitz believes this can-kicking behavior has been going on for a long time, and the situation will continue unabated for quite a while. It is therefore extremely important to regularly revisit your investments, especially stocks, to ensure that the reasons you initially made the purchase are still applicable.

Horowitz an optimist by nature, but he believes that as markets change, so must your strategy. His advice is highly regarded and widely followed. Even if the world is going to end shortly, there's really not much you can do about it--so be happy for today, invest as if there will be a tomorrow, and hope for the best! Andrew has a great sense of humor and is very engaging; he really knows his stuff.

Check out our link on http://kerrylutz.com/resources/.

Feel free to write us at kl@kerrylutz.com or call 347-460-LUTZ.

Ed Steer the produces Gold & Silver Daily for CaseyResearch.com. This is a free publication that is vital to anyone who is watching the controlled demolition of the global financial system. Most nights, he starts writing around 7pm and hits the send key 5am the following morning. Ed's been a long standing member of GATA (Gold Anti-Trust Action Committee) and has a unique understanding of the manipulated financial and precious metals markets. He's extremely wary of the primary ETF's (Exchange Traded Funds) GLD and SLV and believes that CEF, GTU and the Sprott funds are much safer and secure alternatives, especially because their metal is not stored in the United States.

Ed is appalled at the United States's decline. He says that the upcoming election is merely a contest of puppets who will ultimately be controlled by the financial power elite. He's extremely wary of the future and believes that a financial implosion is rapidly descending upon us. And the only safety in an unsafe world is clearly gold and silver.

For more information about Ed and his publication go to www.CaseyResearch.com/gsd.

Feel free to write us at kl@kerrylutz.com or call 347-460-LUTZ.

Bix Weir of RoadtoRoota.com joins us this week to discuss the impending implosion of the world's financial markets. Bix believes the mother of all crashes is happening very soon, possibly as soon as this March. It could be triggered by the CFTC's implementation of position limits for silver as well as other commodities and their upcoming definition of SWAPs. This is supposed to be done sometime in January, with a 60 day implementation period to follow, and Bix believes this could and will trigger a market crash. He warns us to keep an eye on the European situation--the European and US banks are up  to their collective eyeballs in derivatives, which have been likened to weapons of mass financial destruction. The bank collapse in Europe could lead to bank collapses in the US, so follow Europe closely as this could be your last warning to get all of your monies out of the US banks.

The widespread financial fraud has been on-going. We've been printing our way to prosperity since the early 70's. So hold onto your metals, they're the only answer to the government's debasing of currency. Gold and silver are going to be freely traded, and soon! Probably by the end of 2012. Free markets will rise again; unfortunately, we're going to have to live through the crash to get there.

Please send your questions to kl@KerryLutz.com or call us at 347-460-LUTZ.

John Grisham has been an international, best selling author for nearly 20 years. His specialty, legal thrillers like The Firm, The Rainmaker, The Litigators and many others; Grisham has also written a couple of children's legal thrillers as well. He's sold over 250 million books, ranking him among the most successful authors on the planet. I've enjoyed his earlier works; but recently, I've found that his work was starting to feel like it was written from a standard outline. However, his latest work, The Litigators, seems to have broken this formulaic mold. 

The story centers on David Zinc, a Harvard grad and burned-out, 5th year associate of a top firm with impeccable credentials. His future is extremely bright until the day he opts to go on a major bender instead of heading into work. The fun begins when the protagonist gets fired and subsequently hooks up with the ambulance chasing firm of Finley and Figg. Things are looking up, but then it all hits the fan again. In order to avoid sanctions and a potential multi-million dollar liability for filing a frivolous action, David goes up against his old firm in the courtroom. 

The Litigators is an absurd farcical look at practicing law in the 21st Century. It will provide consistent laughs; highly recommended.

Please send your questions to kl@KerryLutz.com or call us at 347-460-LUTZ.

Bill Murphy, former pro-football player and Wall Streeter has been leading the charge for over a decade. He claims that the precious metals markets have been fixed by the government, for the purpose of propping up the bankrupt fiat money system. The country and the world have been living beyond their means for decades and now it's all coming home to roost. Politicians and the political system have failed to stem the world's desire for ever bigger and more powerful government. Other than Congressman Ron Paul, no one has stepped up to the plate to make the case for free markets and limited government.

Originally, when Bill started his movement, he was treated as a conspiracy crank and was fitted for a tin foil hat by the mainstream media. Thirteen years later, his foresight has become accepted wisdom. According to Bill, it is clear that governments will do anything they can to avoid making the tough decisions and if that means manipulating precious metals' prices, so be it. Pretty soon, we'll find out if Bill is right. Just keep watching the prices of gold and silver and you will too. 

Please send your question to kl@kerrylutz.com or call us at 347-460-LUTZ.

Ron Hera, the well respected and highly regarded proprietor of HeraResearch.com explains what 2012 will look like. And it ain't pretty. The governments of the world seem hell bent into leading us all into a financial dark ages. Ever expanding debt and currency units cannot end well. It never has and never will. Until policy makers are willing to face the facts that the financial system is not facing a liquidity crisis, but rather a insolvency crash, nothing can change. It's as if you went to the Doctor and he treated you for a common cold, when you were really suffering from pneumonia. You might feel better for a little while, but the disease could wind up killing you.

We are witnessing the death throws of the current financial system. A new system will be born from the ashes of the old one, but there will be much suffering and pain until it happens. You need to prepare for 2012, because while the world might not end on December 21, 2012 (It better not because that's my wife's birthday), we could be facing a new financial world order in 2013.

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

The Financial Survival Network grew by leaps and bounds in 2011. We went from virtually no listeners to 10's of thousands in just a few short months. We are preparing for 2012 and you need to also. That means putting into place three plans: 1)A Personal Financial Survival, 2)A Physical Survival Plan and 3)A Family Survival Plan. I have committed to revising and finalizing my plans and I will be sharing them with you in 30 micro trainings on www.KerryLutz.com. 

In addition, we plan have a number of events in the second half of the year. So please sign up at <a href="www.kerrylutz.com">KerryLutz.com</a> now. They're coming out very soon along with the revamped Financial Survival Toolkit.

There are big changes ahead for the New Year. We talk about a number of emerging trends and what you need to know to deal with them.

As long as you take the proper steps and know what's in store, you'll probably make it through and wind up in a better position than where you started. The key to dealing with change as in dealing with life is Preparation!

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

Are you fed up with the non-stop failure of the American educational system? We may finally be at the cusp of a solution. The combination of technology and the current system's un-sustainability, could lead to sweeping change and improvement of education at every level. The wealthy always had access to the best tutors to make their children literate. Public education was created to allow the non-wealthy to do the same. Unfortunately the system become classroom/lecture based, rather than student centered, thus the personal intimacy of tutorial education was lost.

The advent of the Kindle/Nook/iPad could be an important part of the solution. While the quantity of information and downloadable books and courseware has never been greater, information management and the ability of a parent to choose the courses and publications, that they feel will be the most advantageous to their children, could mean a new golden age in American literacy. Plus, many universities are making their best educators and courses available at no cost on the web. 

At the same time. traditional classroom education has hit a brick wall. On a price vs. performance basis, much of the educational establishment should have been shuttered long ago. However, teachers' unions and their political benefactors have turned schools into indoctrination centers that seem completely unconcerned with their students functional illiteracy. The parents are forced to idly sit by, while their children's futures are gutted. But economics and technology are quickly finding a way out. And more importantly, those who escape this tyranny will be free-thinking productive members of society pursuing their dreams and passions from a very young age. 

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

Trace Mayer's blog, www.RuntoGold.com, in addition to precious metals investing, covers a wide range of topics. Trace is an attorney, entrepreneur, author of The Great Credit Contraction, and an all around renaissance man. He reviews his trend predictions for 2012 and believes that all is not lost. Technology is freeing more and more people to pursue their dreams and their passions. Debt slavery is a major challenge, but the collapsing financial debt driven paradigm should liberate many from debtor servitude.

More importantly, people must take an honest inventory of their financial and personal assets and liabilities. Before taking on large amounts of student debt, young people must be absolutely certain they will achieve a positive return on this large investment. But first, we must survive the current economic crisis. The need to find viable career alternatives which provide sufficient income and personal satisfaction is greater than ever. Trace is someone who has been very successful in this regard.

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

If you're worried about the latest price decline of precious metals, then listen to Ranting Andy's latest take on the smack-down. Andy and I agree: it's all smoke and mirrors, so you shouldn't be deceived. You have nothing to lose but your fiat currency. Simply put, this latest smack-down is just another last ditch survival ploy by the elite world financiers. However, this tactic is destined to fail because worldwide debt growth has gone geometric; there's simply no way to pay it off. There will be subsequent massive debt defaults, either through inflationary devaluation of fiat currencies or by countries that simply accept the obvious and cut off the flow of debt repayment dollars. 

Andy and I joke that the .45 caliber round may one day become the universal currency unit. But seriously, there will be much pain for you if you refuse to recognize the truth and embrace the concept of sound money. Therefore, your choice is simple, buy gold and silver at steeply discounted prices, or wait for your bank balance to become irrelevant. The crisis has spread to every continent in the world and there definitely wont be a Chinese White Knight riding to your rescue.

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

We're back with our weekly discussion with The International Forecaster, Bob Chapman. Although the gold slam down continues and the price per ounce has dropped to a record low, Bob reminds us to remember the difference between paper and physical investments. Precious metals are a long-term investment. Don't be fooled by the mainstream media reports of the Christmas retail boom. The economy is not recovering, Sears and Kmart have announced the closing of over 100 stores and have left thousands of more people unemployed. The lesson of the day: buy while the buying is good.  

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

We recently posted to the site www.DailyKos.com, a site for thinking progressives. While many people view our current economic situation as one of right versus left, The Financial Survival Network has always viewed it as Man versus the State. It is not a question of government doing more, but rather an issue of government expansion. As the government grows and does more, it perpetually destroys the civil liberties that our nation was founded upon. These liberty infringements are perhaps the most disturbing aspect of our political system. While the parties espouse very noble doctrines, their actions belie their philosophy. The end result is quite clear, a totalitarian state where individual rights are subsumed by the State's drive for self-preservation and its insatiable need to expand. 

The defining issue of our time: should the rights and freedoms of the individual be paramount, or should they be subsumed by or within the state? To address this question, one must look at the manner in which all governments operate when depriving their citizens of their individual freedoms—the government always has a “noble” motive. Drugs, for instance, are illegalized; therefore, in order to prevent drug smuggling, the financial transactions of individuals must be strictly controlled and monitored. Consequently, if a computer tags you as a drug dealer and you're not, well that's just the price that must be paid to stamp out this invidious problem. The end result is as the government grows stronger, the individual becomes more enslaved.

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

Richard F. Miniter has an intriguing article in AmericanThinker.com. Richard believes the advent of the Kindle and the Nook will lead education back to its original methods, namely autodidacticism. In his article, A World Without Schoolteachers, Richard describes personal experiences and references a large body of evidence supporting the fact that home-schooled children routinely out perform their public school rivals in standardized testing as well as national spelling and geography bees.

However, home-schooling isn't for everyone. If a parent is not available due to work demands, then who will supervise the student? We don't want to end up with the worst of all possible worlds, one where unsupervised home-schoolers are free to wreak havoc around town. Perhaps a combination of homeschooling and a reduced role of public schooling is what is needed since certain courses, especially math and science require classroom demonstrations and experiments. One thing is certain, distance learning over the internet is having and will continue to have a profound effect on education at all levels. Many top flight universities, such as Harvard and Stanford have published numerous courses on the internet for free. 

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

Our political system, which has failed us before, seems to be failing us again. Our elected leaders are run by the corporatism and bailouts of Wall Street and everyday are pouring more and more money into antiquated federal programs. In the last five or so decades, federal income tax receipts have remained fairly constant, yet the tax burden has indubitably gone way up. Simply put, it has been shifted from income tax to other less visible taxes and has allowed government spending in the area of payments for individuals like Medicare, social security, and food stamps to increase at an alarming rate. The government has entered so many non-governmental functions that it has corrupted the private sector by attacking small businesses. Gerald ford said it best, “A government big enough to give you everything you want is a government big enough to take from you everything you have.” 

We have lost sight of what our political system is supposed to do, and we’ve failed at protecting the free market. Our founding fathers believed in limited government and low taxes-they foresaw the fiscal problems we have today, and they would agree that taxing the rich wouldn’t solve the long-term deficit problem.

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

The city of Troy, Michigan says no thanks to federal stimulus money. In a 4-3 vote, the Troy City Council turned down 8.5 million for the development of a multi modal transit center that has been in the works for over a decade. The transit project called for a combination of high-speed rail, bus, and taxi and would have created a hub for a regional system clearly missing from the city. While no one would object to investing in a city’s future, the problem so aptly stated by Mayor Janice Daniels is “there’s nothing free about government money.”

Federal money comes from taxes, but the government hasn’t increased taxes—so where is the 8.5 million coming from? It is being printed from out of thin air, as the government continues to borrow from the Federal Reserve and subsequently diminish the purchasing power of the money supply. The government continues to destroy wealth by spending money that it doesn’t have and taxing its citizens in the name of corporate welfare.  

Troy has set the standard for the economy recovery. Take heed towns, counties, cities and states; reject federal dollars and let the private sector fund such projects. 

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

When overtaxed and overburdened citizens finally reach their limit, they vote with their feet and their wallets. Roger Keats, a lifelong Illinois resident and local political figure, finally reached his limit. He and his wife, Tina, are moving to Texas, and their reasons are simple: no income tax, lower sales and real estate taxes, less corrupted government, and the list goes on. He's fed up with corrupt Illinois politics, where the last 5 out of 9 governors have been indicted for graft. He mentions that indicted public officials are so numerous that perhaps they should get fitted for their prison wardrobe upon swearing in.

The Illinois Keats describes is a total cesspit. Honest citizens and taxpayers have no means of escaping the excessive confiscatory taxation that perpetuates Illinois' corruption. The only feasible option is to move to another less corrupted state. And this trend is unmistakable in many other states, such as New York, New Jersey, Connecticut, Rhode Island, California, Michigan, Ohio, etc. Until the corrupt governmental unions are weeded out and limited government makes a return, these states are all on the road to bankruptcy.

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.

Jason Burack joins the Financial Survival Network to discuss the deflation versus inflation argument. The non-Austrian economists keep mistaking sinking asset values, such as falling home prices, as deflationary in nature. However, Jason feels that this is a misperception of an underlying trend. Falling prices in the face of an escalating money supply cannot be perceived as deflationary. While the price of commodities keeps going up, so will inflation. He is not willing to bet on the inevitability of hyper-inflation, but he is certain that inflation will continue upward.

Next we discuss uranium and rare earth metals. Jason states that nuclear power is an indispensible and growing part of future energy production. And the new technologies coming into use will make nukes virtually failsafe and able to produce large quantities power with low quality uranium ore. Unfortunately, the US has squandered its lead in this essential technology and the Chinese will be leading the way in the implementation of this technology. But there will be a pertpetual shortage of uranium from 2013 onward. 

Please send your questions to kl@kerrylutz.com or call us at 347-460-LUTZ.