Understand your economic alternatives with training in alternative economics

In the recent past, we have been looking for financial planning industry professionals to help us create a more informed plan that would bring us comfortably into our retirement years. Unfortunately, the procedures and methods that most typical financial planners follow and suggest have become archaic and outdated (even self-service). All too often, this deception has led to declining returns instead of the big promised profits. As a result, and rightly so, as an audience we have lost confidence in these so-called professionals and lost the desire to save or invest for the future. Read the book ‘Where are the client’s yachts?’ by Fred Schwed Jr.

To meet the challenge, Social Security has published their bankruptcy forecast (see your annual Social Security statement on page 1 top right) and the government is shouting out to the public through almost every form of media to come up with a personal financial plan to state that not including government support. In other words, “you are on your own!”

Without understanding your economic alternatives or having a personal system of financial growth, the effects of social heredity during demographic and economic transition have been found to be financially devastating for most.

In other words, it becomes increasingly difficult to achieve a certain level of financial security when we make our financial decisions based on our inherited perceptions. As time passes, things change and the economic climate in which we live also changes. Things are changing faster than ever before. Unrecognized changes widen the information gap between our perceptions and reality. The decisions we make have their outcome determined by how close or far our perception is of the reality of the world we live in.

Did you know for example:

1. You can use Self Direct IRAs, 401Ks and other tax-deferred retirement plans and use those funds to leverage the acquisition of high-performing real estate and see your assets grow unhindered by taxes.

2. If you have equity bonds or mutual funds, you can often pledge (not borrow) that asset as collateral on real estate, but never take it out of the funds that hold them. In fact, you can double dip!

3. Banks make money through Arbitrage and you can do that too.

4. You have hidden resources you didn’t know you had. In fact, you have all the financial assets you need to achieve any desired goal.

5. The return on investment for equity is zero.

6. The effective rate you pay for a fixed-rate mortgage changes from one year to the next.

7. Of the ways the financial planning industry is allowed to report the performance of your investments under their management, at least 9 out of 13 may give the impression that you are outperforming you. Sometimes you actually lose money when they report a profit.

Knowledge of such truths and much more can turn the financial table to your advantage.

To achieve your own goals and dreams (which may just be a comfortable retirement), you need to be knowledgeable and sophisticated about how the money game works now and stay that way through rapid changes. This requires an educational process that can thwart your conventional thinking and an ongoing connection to a trusted source of new and current information, as well as opportunities to keep you informed. Finally you have to learn to apply a new systematic process that works and continues to work; Because all the knowledge of the world doesn’t get you anywhere without its application.

The principles of what is known as an alternative economy are critical in developing a successful personal system of financial growth. Alternative Economics has been called by some experts the solution to a failing financial plan in America and the economic doctrine of our time.

Alternative Economics was first introduced by local investor clubs of the national investor group as a personal system of financial growth and an emerging industry by the National Strategic Investment Corporation (NSIC) in February 2005.

Founders of NSIC recognized growing financial inequality in homes at the national level due to inefficient financial planning traditions, a failing social security system, and poorly managed or powerless government and corporate pension programs that overlook many favorable alternatives .

This inequality has peaked as the public is encouraged to take charge of its own financial future. The challenge for this solution lies in the country’s ever-changing economic climate caused by the effects of rapid technological growth and other major changes and events. The national education system cannot keep up with these changes and leaves the public to make financial decisions based on perception, not reality. Financial decisions made with the old or inaccurate information about the observation yield less than desired results and extinguish the motivation of saving or investment activities. As a result, less than 1% of this country’s household income is currently invested in any form of pension or financial plan.

Alternative Economics responds to the call to the American public to be called by top officials from every federal government political party to plan our own financial future. The message is clear: ‘the government will no longer be able to support us as we grow older’.

The Savings Are Vital to Everyone’s Retirement Act of 1997 (SAVER) entered into force on November 20, 1997. The purpose of the SAVER Act is to provide the public with more knowledge and understanding of the importance of retirement savings. The law mandates the Minister of Labor to take action in four general areas:

1. Maintain an ongoing public information program to effectively promote savings on retirement income;

2. To disseminate specific educational material related to retirement savings and the principles of savings and investments;

3. Set up a website as a means to distribute these materials, and

4. To convene these national summit meetings on pension savings.

In 2006, this was the goal of the National Pension Savings Summit, directly from the DOL website on the Department of Labor website, listed in the sources below.

National Summit Objectives

1. Increase public knowledge and understanding of pension savings and their crucial importance for the future well-being of workers and their families.

2. Facilitate the development of a broad, public education program to stimulate and strengthen the individual commitment to a personal retirement savings strategy.

3. Develop recommendations for additional research, reforms and measures in the field of private pensions and individual pension savings.

Alternative Economics meets all these three objectives. But why is our savings so important to the federal government? The answer is two-fold:

1. The productivity of this country and thus the health of its economy are directly linked to the saving habits of its people.

2. Based on current savings habits in America, most future generations will not be able to retire or even provide for themselves.

Taken together, these two effects of the current savings habit of the American people could lead to an irreparable condition and even to a collapse of our national economy.

“Left ignorant, ambition is paralyzed by fear of the unknown. Opportunities are not recognized and our dreams of a prosperous future fade into excuses.”

– Steven Hettema-

You may be wondering, “What is an alternative economy”? To answer this, let’s first tell you what it isn’t.

Alternative Economics is not about stocks, bonds or mutual funds. Our occupational retirement plans, retirement plans, 401ks and IRAs are all invested in stocks, bonds and mutual funds. Let’s face it, we have all seen or experienced the poor performance of these traditional asset classes. We will discuss in more detail in future articles why we believe these investments will yield such disappointing results. We will also discuss how Alternative Economics will solve this problem on a personal level for anyone who actively applies the methods and principles it proposes. But let’s keep the conversation a little wider for now.

As a country, we have lost confidence in these investment instruments and are no longer motivated to save or plan for the future the way we used. This is evidenced by the fact that Americans save or invest less than 1% of our income. Some believe this is because we are less disciplined these days or we just don’t care anymore. It has been suggested that we are entering a new economic era led by an irresponsible generation with an immediate mentality of satisfaction. These statements blame this exhausted savings habit of our nation for the actions of the people and not the cause of these actions or the lack thereof.

The American people of this generation are not stupid; we just respond to our common sense … Why come up with a plan that we know has failed for many? After all, discipline comes from motivation and motivation comes from belief in an action that will yield a desired result. We simply no longer believe in the traditional financial plan that depends (largely) on the performance of stocks, bonds and mutual funds. What we need are better alternatives.

An alternative economy does not depend on your thrift either. Most Americans believe that increasing assets and / or investing is only possible at the price of a significant lifestyle sacrifice. It’s no wonder people think this way, listen to what Federal Reserve President Ben Bernanke said:

“Unless the current generation is willing to sacrifice, by cutting consumption or increasing savings, future generations may face a greater decline in living standards.”

“We can mitigate the adverse impact of aging on future generations, but only by abandoning consumption or leisure today. As the population ages, the nation must choose between higher taxes, fewer government programs, cuts in social security and Medicare, a higher deficit or a combination of those options. “

TODAY 10/05/2006, by Sue Kirchhoff

Does Ben understand what he’s saying? Does consumer consumption not affect the health of the economy? Of course! Spending less to save more or pay a higher social security tax is not a solution. Sorry Ben! People need alternatives that allow them to continue to spend (now maintain or improve their lifestyles) while growing assets for their future.

The reality of this perception, left to us by the media, our political leaders, and our heredity, makes the lack of motivation Americans have to save or invest in a conventional way more understandable. Think about it, who in their right mind would be motivated by this financial plan?

Take money out of your current budget and give up your lifestyle now to save or invest for your future in a system that, based on past performance and future projections, will provide you with retirement savings that don’t even support the reduced lifestyle you have weather make better.

With such prospects, it’s no wonder we’re more likely to say, “Spend it while enjoying it and hope for the best when you retire.” While that’s not a plan, it makes more sense than the traditional option described above.

The concepts of Alternative Economy are about the need for wealth accumulation without even having to take austerity into account.

Finally, Alternative Economics does not rely on occupational retirement plans or government-run retirement programs such as social security.

A recent Frontline report entitled “Can You Afford to Retire”, which first aired on May 16, 2006, made observers aware of the financial strategies of companies that have led to the demise of workers’ pensions. Specifically, federal law allows companies that offer retirement plans to use those employee pension funds for business expenses, hoping to repay the deficit at a later date. If the company is experiencing financial difficulties and is unable to repay the pension funds, they can file Chapter 11 bankruptcies to clear the debt and leave employees unaffected. View the full report at the link below.


The social security system has predicted its own bankruptcy date and publishes it in its own report to the American people every year. Most of us have received the annual social security statement at some point in our working lives. If you are like most people, when you finally take the time to look at the document, immediately go to the 2nd and 3rd pages of your personal benefits when you retire, get injured or die. Take the time to read the first page this year. Here you will find the details of when (not if) social security will go bankrupt. Specifically, it’s in the paragraph at the top right of the front page. As you read it, you will understand why the government so strongly encourages all of us to create financial retirement plans that do not include government or company-run programs.

It is time for economic alternatives; it is time for an alternative economy.

Alternative Economics (TM) is a personal financial growth system designed to reveal hidden assets and apply them to alternative investment strategies using four asset acceleration principles in three stages of financial growth. It is the solution to the failing traditional financial plan in America and the economic doctrine of our time.

Let’s break that down:

– Personal system of financial growth

– Hidden assets revealed

– Alternative investment strategies

– Four Asset Acceleration Principles

– Three financial growth phases

In the very near future, look forward to future articles on each of these five topics above. Meanwhile, you can see more about the National Strategic Investor Group, the National Strategic Investment Corporation and Alternative Economics at http://www.nsicgroup.com

Source by Steven Hettema