We talk to a lot of people who live in Dublin Ranch. From our conversations in later 2008, it was easy to see that the economy had most of us looking forward to the fresh start coming with a New Year. Most of the time, when an investment sector is suffering, we can transfer as much of our liquid assets as possible to markets that are thriving. By staying on top of financial ebbs and flows we expect to come out even, and hope to come out ahead. This was not the case in 2008; the slide of our markets was across the board, and the impact rivaled the events leading up to the Great Depression.
One of the interesting things we’re seeing in our market now is a transfer of wealth from intangible assets (stocks, bonds, mutual funds, etc. ) to tangible assets (gold, silver, and real estate). Much of this is happening because of inflation, but it also has to do with consumer’s comfort levels. In other words, when investors lose money in “intangibles,” they go back to things they can touch and hold onto with their hands.