As threats of German banking collapse loom, the Rothschild family makes a daring decision to invest their money in gold. While there hasn’t been any sort of collapse since 2008, the prominent family has warned that this is “uncharted waters” as they are unsure what the future will hold.
Jacob Rothschild has said that the last 6 months have not looked good as central bankers experiment with the market. It is virtually impossible to predict the consequences of very low interest rates with the government almost making nothing on debt. They in turn will be pulling their money out of the stock market and banks to invest in gold holdings.
The Germans will have some decisions to make as their banking collapse will cause a world wide ripple effect. They can either bail the banks out via “bail-ins” which can be described as the following:
A bail-in is rescuing a financial institution on the brink of failure by making its creditors and depositors take a loss on their holdings. A bail-in is the opposite of a bail-out, which involves the rescue of a financial institution by external parties, typically governments using taxpayers money. Typically, bail-outs have been far more common than bail-ins, but in recent years after massive bail-outs some governments now require the investors and depositors in the bank to take a loss before taxpayers.
Essentially stealing money from citizens who will not be able to fight it, or collapse. Neither of which will sit well with anyone. Usually when the government starts to send out a warning, it’s too late. Take a look at this video and decide of pulling your own money and investing somewhere else is an option.