You Think You CAN’T Loose Everything in the Philippines? Think again!

This drawing on the left is the interpretation of my 9 year old daughter when I asked her to draw a person who lost his all – his business, job, savings and wealth. How it appeared to my daughter was a picture of a man scratching his head in wonder and in great grief of what had happened. Now, how it would looks like to you? What if it is you? Do you think it can’t happen here this country? think again.

 

Throughout history, great and powerful governments almost always conform to the usual playbook – a time tested pattern i.e. when the “Once Powerful”  governments is in decline and as bankruptcy gets nearer, it will always resort to imposing controls over everything – from wages, prices, capitals, trades, exports even unto its people: Everything! and this idea can be traced back even from the dawn of human Civilizations. From the 3rd Dynasty of Ur in the Ancient Mesopotamia, where they did trade as like modern future contracts on their clay tablets and sold it to the secondary market, it was brilliant but as the economy cannot sustain it any longer, the bubble burst and the empire collapsed;  to the Roman Empire in the 4th century AD, where Diocletian, the Emperor failed to control runaway inflation by fixing the prices of everything. Then also in the 1790s when the French government tried inflating their paper currency and passed the “Law on Maximum” in 1793 that created the severe shortages of Staple Foods in the country. In our modern times, Argentina has adopted the same tactics; their government has fixed the prices of the groceries, banned advertizing, prevented their people to hold precious metals like gold and owning foreign currencies and even restricted exports.

 

The endgame  of this tactics and policies have always been an economic disaster for any country who deliberately does it. However, it seemed that in “rich countries”, people believed that it can’t happen to them. Unfortunately, it is already happening. In the Land of the Free for example, there are now pieces of legislations that have been quietly introduced and one of it is the proposition to BAN the exportation of any Crude Oil & petroleum products that originate in the land. While in some part of Europe, even owning a single refrigerator is taxed and if you fail to declare your owned appliance, you’ll be surprised that you’ll have a government tax liability more than the cost of that undeclared appliance.

 

What are these then for the Philippines and for us Filipinos? Philippines have been enjoying the positive economic outlook and performance since 2008 economic bubble burst. Bloomberg reported that the Philippine stocks have beaten the biggest economy by 124% in terms of returns although Philippines is only ranked #12 in terms of economy size. In recent year, PSE index have been breaking all time highs and now in 6,833 (up by 108.64 points on Friday’s close).

 

We can say that right now is the dawn of Philippines’ glorious days and it is really good to take advantage of this very positive outlook whether it could be in business ventures, investments and even in career. However, we can be certain that after all the glorious days, economic decline, distress and even demise follows. Observe though that at times of economic distress, downturn and / or demise, it is also (as always) the GREATEST wealth transfer event in history. But only the financially prepared and educated can take a piece of the pie while others have suffered loss  - in their business, their job, worthless bank’s savings & deposits because of hyper inflation like what had happened in Germany and Zimbabwe where the millions of German Marks and Zim Dollars of savings respectively became worthless because it cannot even buy a single chicken egg for a single egg costs billions of German Marks at that time.

 

When it comes to our family’s finances, it is not necessarily that we have to go where our country’s economy should go especially on its downside. It is wiser though that at time of the country’s prosperity, our family should prosper too. The more it would be wiser if at the time of economic distress, our family’s interest over our wealth & finances are protected and preserved.

 

By having a carefully planned Financial Strategies in placed and in effect in your own personal, family or business’ finances can enable you to steer and set for yourself an advantage over anyone who doesn’t. Taking for example the Infinite Banking Concepts® as the foundational structure of your family’s finance, It can protect the Financial interests of your family over any claims, lawsuits, creditors and even from heavy taxation imposed over your unprotected wealth and assets; It can enable you to enjoy non-taxable returns & dividends of its underlying investment vehicle; while the economy is progressive and there are plenty of business and investment opportunities around, it can provide you liquid cash financing without having to comply the numerous financial requirements of financing institutions such as banks like audited Financial Statements, Business Plans & Feasibility Studies, etc… and thus, it protects your financial privacy while you can participate in venturing feasible business and/or investments to take advantage of the good economy.

 

What else? I forgot to mention that as you can avail business & investment financing using Infinite Banking Concepts® without divulging your family’s financial privacy, there will be no one whether an individual or a corporation or a financial institutions i.e. banks that will take hold over your neck and your physical assets to be used against you if you fail to meet their terms and conditions should you have availed their financing services. Plus, a lot more…

Implementing IBC® over yours or anybody’s finance is like planting fruit trees year-by-year that at the first few years from planting (3-7 years) depends on what kind of fruit tree it would be, you cannot feel yet its huge impact but as time goes by, you’ll see that you have a lot of fruits – you will no longer dependent on the fruit stands and fruit stores if you want to have fruits.

 

I have never seen as profound financial foundation as this concept IBC®. It conforms to the universal law of sowing and reaping and it does not defy it in anyways. It is well rooted within the sound economic principles and it does not adhere to the modern economic theory of John Maynard Keynes, of which the world has embraced and turn the world’s economic system into a biggest gambling arena of bankers and speculators.

 

Until next time,

 

Bong Bungalan Jr.