How to hedge against the coming Trump economic implosion?

[Anonymous]

Trump jr took a company public, grabagun…pew… might be a hedge opportunity

[Anonymous]

I’m sure some won’t like this strategy because it includes crypto.

But realistically you can buy energy, healthcare or commodities ETFs that will weather economic uncertainty and recessions better than an S&P ETF.

Or you could buy gold ETFs. Or like a gold crypto mixed etf like BTGD. I think BTC, which is finite and anti-inflationary, is still not decoupled with the stock market, but may be getting there.

Or you could sell now or whenever you think you can time the market and move your funds into a safer haven like a money market fund and wait for the inevitable crash that 99% of folks can’t accurately time, and then pile or dollar cost that cash into VOO or VT+VXUS after you think the market has hit bottom.

Or you could buy SH or like SOXS or some of the other inverse ETFs during the recession, but those are harder to use and anything inverse with leverage is sketchy to hold for longer than a week.

Or you could buy some low-volatility ETFs and ride it out. There are a lot of choices. Anyone got anything else?

Or you

[Anonymous]

Buy gold. We also bought a few more Rolexes for fun.

[Anonymous]

We are continuing to invest in s&p 500 and are staying the course. I just don’t see the biggest companies allowing the entire US economy to go to crap, and the stock market is set up to benefit the very rich, who again, won’t let things get completely crazy. Maybe some dips, even large ones, but that’s ok.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Is there a question in there I’m not reading that without paragraphs.

Couldn't you just respond to the title of the thread if you had advice? It's pretty obvious that Trump is going to create long-term problems

Yes, of course, but what is the question?

[Anonymous]

If you "have big college payments coming up soon," you've moved that money into cash, right?

[Anonymous]

Anonymous wrote:Not invest in US dollar or economy.

Ya, the Trump presidency caused me to think harder about my allocation. I was overinvested in the US. I'm putting most of my new contributions in VXUS, though I'm not rebalancing my existing holdings.

[Anonymous]

Anonymous wrote:If you "have big college payments coming up soon," you've moved that money into cash, right?

Yes, I have an 8th grader with $350k balance in their 529 plan. I changed allocation from 100% equities (which is how it got to $350k!) to 30% equities and the rest to a money market fund. That is money we need in the near term.

[Anonymous]

Anonymous wrote:Buy gold. We also bought a few more Rolexes for fun.

My dad buys more gold every time a Democrat is in office, fearing some kind of world financial collapse. He's done fine but would've done better in an index fund. At least physical gold is unreportable if you do it right.

[Anonymous]

Anonymous wrote:The best thing you can do is nothing. This has been proven by numerous academic studies.

We’re doing this but we’ve increased our emergency fund/liquid assets. Ultimately we’d like about 3 years worth as we’re on the cusp of retirement.

[Anonymous]

Anonymous wrote:Buy gold. We also bought a few more Rolexes for fun.

If people lose their money they won’t be buying your used Rolexes.

[Anonymous]

1. Since the numbers will be fake we won’t know for a while when things have gone to crap. It will be like in cartoons when the guy runs off the cliff but stays suspended in midair until he looks down and free falls.

2. The thing about trumps bankruptcies is that even some of them were fake, concocted so he could avoid paying a creditor or in one case, his soon to be ex wife. “Oh! You filed for divorce! Look at me, so poor [turns pockets inside out].” He’s a liar, just took paper losses to appear bankrupt & was overleveraged at certain times.

3. The leverage is the problem. He has spent his entire life leveraging present debt on future promises and now he has the whole government doing it ($37T debt that we will “grow our way out of”!). Good luck with that.

[Anonymous]

Anonymous wrote:1. Since the numbers will be fake we won’t know for a while when things have gone to crap. It will be like in cartoons when the guy runs off the cliff but stays suspended in midair until he looks down and free falls.

2. The thing about trumps bankruptcies is that even some of them were fake, concocted so he could avoid paying a creditor or in one case, his soon to be ex wife. “Oh! You filed for divorce! Look at me, so poor [turns pockets inside out].” He’s a liar, just took paper losses to appear bankrupt & was overleveraged at certain times.

3. The leverage is the problem. He has spent his entire life leveraging present debt on future promises and now he has the whole government doing it ($37T debt that we will “grow our way out of”!). Good luck with that.

Thank you. The national debt is THE problem of Trump's presidency. It will be his legacy. I lien conservative and I believe Trump will go down as one of the worst president's in history over this issue.

That said, I'm not making wild changes to my investment plan.

[Anonymous]

Trump is doing absolutely everything perfectly to reduce aggregate demand. He is sharply reducing government spending, imposing tariffs = increased costs for goods, uncertainty causes people to hire less and spend less, stopping foreign travel to the US and kicking out people that would otherwise be spending - its a perfect economic storm.

We are spending as little as possible and saving everything we can.

[Anonymous]

Anonymous wrote:Trump is doing absolutely everything perfectly to reduce aggregate demand. He is sharply reducing government spending, imposing tariffs = increased costs for goods, uncertainty causes people to hire less and spend less, stopping foreign travel to the US and kicking out people that would otherwise be spending - its a perfect economic storm.

We are spending as little as possible and saving everything we can.

It also makes sense to buy what you foresee now before hyperinflation and crash kicks in.