International Investments

by | Nov 29, 2006 | Archives

* International investments can help fight inflation especially when the US dollar is in a freefall, as it is right now. Non dollar international currency investments rise with forex profits to protect against loss of the dollar’s purchasing power.

* Ecuador Real Estate – Ecuador Real Estate Offers Green Opportunity in Golf Greens. This message looks at how you can own a golf course facing home next to this club house for as little as $59,000. We’ll see more pictures below.

* Natural Awakenings to Health – Natural Awakenings to Health Outside In. The skin is one of the most important organs of health. See why winter complicates its job below.

International Investments

The US dollar is in a freefall, as it is right now. Non dollar international currency investments rise with forex profits to protect against loss of the dollar’s purchasing power.

There are three events that could be clues to an especially vulnerable greenback at this time.

The first is the position of the US stock market. Historically stock markets go up for an average of 16 years and then go down for an average of 16 years. The year 2,000 was the end of an 18 year upwards period. We are approaching the middle of a long term bear cycle. Investing in shares now might only work for very short term rallies. A strong Wall Street correction is likely. This could seriously dampen US dollar demand and parity versus other currencies.

Jyske Bank’s forex analysis yesterday said:

U.S. stocks fell on Friday in light and choppy trading in an abbreviated session on inflation worries after the dollar slid.

Often equities in a country rise when a currency falls. This is because local investors buy shares to protect against inflation. However US shares have such a huge international ownership. These overseas owners may dump US shares to avoid forex losses. In addition US shares offer very poor value (value analysts Michael Keppler has given the US market a sell rating). If the dollar fall causes a wave of selling this in turn can force the US dollar down further (if the sellers convert the proceeds of sale to other currencies). This in turn could force Wall Street down even more and further weaken the greenback in a vicious downwards spiral.

A second bad sign on Wall Street is that equity losses were partly offset by mining shares, which rose after gold prices gained. This is one more suggestion that investors are fleeing the US dollar weakness.

Third, on Friday the dollar drop pushed the euro above USD 1.31 for the first time since April 2005. Once in new territory, technical traders have less data to depend on which creates nervousness in the market.

This drop may be especially important because it came from a most fundamental concern, that central banks are diversifying their reserves.

Plus the dollar’s yield advantage over other currencies is dropping as euro and euro related interest rates rise.

This fall appears to be a trend as Friday was the dollar's fourth consecutive session of weakness, so watch out we may be in for a dollar free fall ride.

This drop will be a huge windfall for our MultiCurrency dollar short portfolio.

I have written a sixteen page report, “The Titans Clash” which reviews thirteen major forces that could affect the US dollar now. The report outlines our five 2007 model Multi Currency Portfolios and says”

“The idea behind the 2007 US Dollar Short Portfolio is that in 2007 the US dollar will drop in parity versus other currencies. This is a mixed portfolio of non US dollar bonds and equities. About one third of the portfolio is in emerging markets and the balance in industrialized bonds and equities. This portfolio is meant to produce income and capital appreciation, plus gain a forex profit in US dollar terms to protect against erosion of the greenback’s purchasing power if it falls.”

Learn how to profit from the greenback’s fall. Get this sixteen page report plus the nine chapter report “Borrow Low-Deposit High” with a subscription to our 2007 Multi Currency Educational Service. For more details see

The portfolio also has an added benefit. A portion is invested in German equities and part of the euro strength is upbeat German business sentiment coming at the same time as weaker than expected US economic data.

The euro seems to be the currency most in favor as a replacement for the dollar’s fall. The euro hit a record high versus the yen as it rose to a 20-month peak versus the dollar.

This strong euro is also really good news for our green multicurrency portfolio.

Green international investments make profits and sense for the future.

To expand on the thought that there is opportunity in international investments that help the environment, Thomas Fischer of Jyske Bank and I grappled with ways to add a GREEN portfolio to my MultiCurrency Sandwich Educational Service for 2007. Many investment advisors feel that Green investments are not profitable international investments. So many portfolio managers shun them.

However at our urging, Jyske applied its VAMOS system to green investments and came up with a portfolio created from loans in Japanese yen that invested in six global businesses we believe can help meet some of the challenges of population growth. Learn more above VAMOS at

The six firms we chose to track are Kurita Water Industries Ltd.(Japanese), Hyflux Water, (Singapore) Seche, (French), Vestas Wind Systems, (Danish). Q Cells AG, (German) and Novozymes, (Danish).

This means that two thirds of the portfolio is invested in euro and euro related investments.

This equity growth is then leveraged two times (the investment is $100,000 plus a $200,000 loan) but entirely in Japanese yen.

There are a number of reasons for this. First, this makes the portfolio somewhat hedged as one sixth the portfolio (Kurita) is in yen. Another sixth is in Singapore dollars (Hyflux) which is related to the yen.

Second, the yen still offers the lowest interest rate of any currency. The loan costs only 1.88%!

Third, the yen has been weakening over the last year. Now this is really paying off.

One share in this portfolio (Vestas) has risen nearly 25% in just two weeks. Plus the yen has dropped to an all time low versus the euro. I expect to see some very dramatic upwards performance in our upcoming update.

Good performance in the green tickles me pink because it shows that investments good for the environment can also be good for the pocketbook. It may tickle our grandkids even more in another twenty or thirty years.

Learn more about our 2007 Green Portfolio in our 2007 Multi Currency Educational Service. For more details see

Natural Awakenings to Health

Natural awakenings to health comes in many forms. Reducing stress is one good example. So imagine owning a golf course condo with this as your back yard! We’ll see more pictures in a moment.

Since golf reminds me of the “Skins Tournament”, let’s see why the skin is one of the most important organs of health and why winter complicates its job.

The skin is the largest organ of detox in the body. When we have toxic buildups that our liver and kidneys cannot totally handle the skin takes up much of the slack.

The lymphatic system which drains the skin will become congested and back up waste into the skin. The skin’s transit time, which is how fast the dead skin sloughs off, is dramatically slowed leaving the dry and dead skin to congest the skin’s circulation even more. The skin will age, discolor and wrinkle prematurely.

Winter air tends to dry out, the skin and this hinders its cleansing function. This causes the skin to age faster than normal and clogs your lymph system which drains the body of toxins.

Once this happens toxicity starts to back up into the blood, skin, joints, muscles, and organs and creates all types of health problems.

The first step in the holistic Ayurvedic approach to skin care is finding out your ayurvedic skin type. There are three types, air, fire and water.

Air skin is generally dry and gets easily dehydrated. Air skin is most vulnerable to windy and winter weather.

Fire skin is soft, warm, and of medium thickness. This skin suffers from a diet of hot food. Fire skin is more prone to freckles, moles, rashes, acne and sunspots.

Water skin is oily, soft, cool and tends to age more slowly and with less wrinkles than air or fire skin.

Ayurved looks at the balance between skin type, with environmental and seasonal factors.

For example, air skin types need essential oils or herbs that nourish the skin and rehydrate it. Routine is also vital.

Go to bed on time. Eat regular meals. Follow a regular daily routine. Eat more warm, unctuous foods and favor the sweet, sour and salty tastes to balance dry skin. Include organic milk, whole grains and green leafy vegetables in your diet. Drink lots of lukewarm water. Eat sweet juicy fruits. Eat healthy fat such as coconut oil or clarified butter or olive oil. Give yourself massages with sesame oil.

Tomorrow’s message looks at fire skin.

Join us January 8-9-10, 2007 along with Vaidya R.K. Mishra to learn more about Ayurved and how to attain good health for and through the skin. Vaidya Mishra is the direct descendant of the ancient Shaka Dwipi Brahmin Vaidyas and carries on a legacy of his family tradition handed from father to son for thousands of yeyars. He also has a degree in ayurved. His specialty is healing through dermatology and his health system offers a root form of Ayurved based on the Carak Samhita, the most comprehensive treatise on ayurved. For details see

Ecuador Real Estate

Ecuador real estate on the water offers great value. During our last Ecuador course we visited the nine hole course that sits on Lake Yahuarcocha .

We enjoyed tea, European style apple pie round a fire place at this golf course lodge.

They are building nine houses on the course ranging from the 1,500 square feet two bedroom model in the $59,000 range to 2,500 feet, three bedrooms around $99,000.

The lake is a historical site also known as Blood Lake because of a 13 year battle between the locals and Incas.

A couple of shots of the course are below.

P.S. Learn to invest beyond logic! Join Merri and me for Blaine Watson’s course on Vedic Astrology entitled “Inspired Investing Beyond Logic.” For details go to

Merri and I will celebrate the New Year at El Meson. Join us. Look at real estate perhaps after and stay on for Blaine ’s or Vaidya Mishra’s course.

Until next message whether your desires are golf or gold, may your purchasing power and health remain strong!