I Factor in the Death of the U.S. Federal Government, you should too!
In my portfolio, I have since JANAURY 2009...Maybe since October 2008, began dumping stocks in favor of others to retool and rebuild my portfolio in order to factor in the DEATH of the U.S. Federal Government.
It works like this:
1) SunPower: Should I invest? Can they function without assistance from the Federal Government? NO THEY CAN'T????? Welp... Good Bye Sun Power.... Not Investing...
2) United Health Group: If the Federal Government DID NOT EXIST......... How would that or would it at all damage United Health Group? If it would damage them, how badly? Could they still survive and function an be a worthy investment still????
If so.... then ok..I'll think about buying shares of UNH..... If not... WELP... I'll look elsewhere.
So.. You have to wonder why I still have Defense Stocks in my portfolio right? Why?
Why (FLIR) or (FRPT) or (EAG) or Ad Nauseum?
Simply answer is that they all have a Foreign Business... They all are soliciting for Foreign Military Contracts...
Without the U.S. Federal Government, these companys can still have business from foreign governments that may still exist.... I mean does the Brazil Government exist if the U.S. Federal Government went under tonight???? YES!!!! No one just up and dies cause someone else did.
So, Brazil is still going to exist.... Citizens of Brasil will buy American Cars.... China will buy Buick and Ford vehicles... (F) FORD can still exist even if the U.S. Federal Government went under cause they can focus on selling their Cars to Foreign Nations....
And in Ireland get a better Tax Rate to boot!
If you seriously believe your Company in your Portfolio DOES NOT NEED the U.S. Federal Government to survive.... Then why are you FRIGHTENED???
Uhm... That was a question to myself.