Simon Black

Everyday more and more people are waking up to the idea that they MUST own gold if they want to protect their assets from an out of control government. Owning gold is a great first step, but as history tells us, responsible people can and should do more before it’s too late…

History paints a bleak picture of the decline of Rome. Once warring consuls Antony, Lepidus, and Octavian were finished duking it out with each other in 31 BC, any semblance of the original Roman republic was gone forever.

Successive emperors of Rome included men like Tiberius, a paranoid deviant with a lust for executions. He spent the last decade of his reign completely detached from Rome, living in Capri.

Following Tiberius was Caligula, infamous for his moral depravity and insanity. According to Roman historians Suetonius and Cassius Dio, Tiberius would send his legions on pointless marches and turned his palace into a bordello of such repute that it inspired the 1979 porno film named for him.

Caligula was followed by Claudius, a stammering, slobbering, confused man as described by his contemporaries. Then there was Nero, who not only managed to burn down his city but was also the first emperor to debase the value of Rome’s currency.

You know the rest of the story – Romans watched their leadership and country get worse and worse.

All along the way, there were two types of people: the first group were folks that figured, “This has GOT to be the bottom, it can only get better from here.” Their patriotism was rewarded with reduced civil liberties, higher taxes, insane despots, and a polluted currency.

The other group consisted of people who looked at the warning signs and thought, “I have to get out of here.” They followed their instincts and moved on to other places where they could build their lives, survive, and prosper.

You’re reading this because you probably fall into the latter category. You’re aware of the problems. You can feel your civil liberties and economic opportunities slowly slipping away, all while the crop of national leadership grows more depraved with every election cycle.

You want to do something about it. You want to take steps to protect yourself, your family, and your livelihood. Perhaps you’ve already started by investing in precious metals. Gold is a great hedge against inflation, political turmoil, and default – things I call “sovereign risk.”

You see, some of the world’s largest governments are going broke, and these politicians will take any steps necessary in order to maintain the status quo: they will lie, they will steal, they will declare wars, they will bankrupt their people with hyperinflation… whatever it takes.

This is the greatest risk we face today. Buying gold is a great start, but there is MUCH more that you can do.

I’m an advocate of what I call planting ‘multiple flags.’ At its core, planting multiple flags means that you are diversifying your sovereign risk around the globe so that no single government has total control over your livelihood. Let me explain.

Let’s say you are from the US. If you live, work, bank, invest, register your business, own your property, store your gold, etc. within the US, and one little thing goes wrong, all of those assets and interests are at substantial risk. Any judge or bureaucrat could make them all disappear with a few mouse clicks.

It needn’t even be anything big. Maybe some three-letter agency suspects you of wrongdoing. Maybe your neighbor wants to sue you. Maybe they outlaw gold ownership (again). There are infinite possibilities, and infinite risks.

When you plant multiple flags, you diversify those assets around the globe. Store your gold in Switzerland. Open a bank account in Hong Kong. Register your company in Singapore. Establish an emergency ‘backup’ residency in Chile.

You can plant flags with just about any interest in your life – where you go to get high quality, cost effective medical care, where you set up your web servers for an online business, where you establish an international brokerage account, etc.

This approach is NOT just for the super rich. In fact, I’ve helped all kinds of people to plant their own flags, young and old, rich and poor.

Taking some simple steps to protect yourself will give you extraordinary peace of mind. You’ll know that, without doubt, you have some savings socked away that NOBODY can touch. You’ll know that you have a solid emergency backup plan. You’ll know that everything you’ve worked for won’t vanish in an instant.

Simon Black

for The Daily Reckoning

Simon Black

Simon Black is an international investor, entrepreneur, permanent traveler, and free man.

  • gman

    “… politicians will take any steps necessary in order to maintain the status quo: they will lie, they will steal, they will declare wars, they will bankrupt their people with hyperinflation… whatever it takes … I’m an advocate of what I call planting ‘multiple flags.’ At its core, planting multiple flags means that you are diversifying your sovereign risk around the globe so that no single government has total control over your livelihood.”

    let me get this straight. politicians are/will be desperate crooks, so to prevent any one of them from whacking you, you expose yourself to ALL of them so they ALL can whack you? what’s wrong with this picture?

    “Store your gold in Switzerland. Open a bank account in Hong Kong. Register your company in Singapore. Establish an emergency ‘backup’ residency in Chile.”

    and with the world cracking up around you, you’ll be able to maintain unrestricted untaxed unregulated communication between all this? good luck with that.

    and you might want to read a little more roman history. the reason the romans did not run from their government was because there was nowhere else to go. as america declines I think you’ll find your previously assumed and taken-for-granted freedoms and rights equally in decline offshore.

  • lamac66

    I agree there is nowhere to hide.

  • Facundo

    I agree with gman.

Recent Articles

It’s Time to Buy Microcaps for Double-digit Gains

Greg Guenthner

Yup, small-caps are setting up for a comeback year. In fact, I believe they'll retake a leadership role in the markets in 2015. So now's your chance to set yourself up for potentially massive gains before these stocks start grabbing headlines again. Or... you can simply wait until some ex-purt on CNBC or Fox recommends them - and miss out on half the party. Your choice...


Can Money Printing Cause Deflation?

Marc Faber

"There has been an issue that has preoccupied my mind for a long time," writes Dr. Marc Faber. "In economics, it is generally accepted that if the quantity of money and credit is increased, prices will rise… However, since economics is so complex… I question whether the expansion of central banks' balance sheets and policies of zero interest rates could have a deflationary impact…" The good doctor wrestles with the question, in today's essay...


How Low Will Oil Go – And What Can You Do?

Matt Insley

The oil market has been under siege for six months. From service providers to producers this downturn has been painful. Of course, we’ve known all along that oil prices were a little toppy over the summer. In fact, when asked just how low oil prices could go I usually answered with a simple “lower than you’d expect…”


Cuba’s Berlin Wall Moment

Peter Coyne

Our forecast that Cuba would be open and integrated within 5-10 years is on track after yesterday's big announcement. Ahead of schedule, even. Click here to see how some investors have profited and what the island's likely future is...


The $4 LED Trend You Don’t Want to Miss

Chris Mayer

The opportunity to sell and install LEDs is enormous. We’re talking about over a billion lighting fixtures. And the areas with the largest potential -- like parking lots -- have barely begun to change. Banker to the presidents Chris Mayer says you could triple your money in this new tech trend. Here's what you need to know.


Forget the Oil Crash – Crush the Market With Biotech Stocks

Greg Guenthner

The Biotech iShares ETF is up 23% since the Oct. 15th bottom. No, that is not a typo. Biotechs have torched the S&P over the past two months--more than doubling the returns of the big index. And biotechs as a group are up more than 38% year-to-date. In fact, since we first highlighted the June comeback, the Biotech iShares have gone nowhere but up.


How to Make the Casinos Pay You for a Change

Greg Guenthner

It's a theme we've shared with you since April. And it's only gotten worse. The gaming industry has come under all sorts of pressure--a situation I first noticed in the charts. The powerful, multi-year uptrends started showing cracks. And it wasn't long before those cracks turned into gaping holes you could drive a friggin' truck through. That's where things stand today.