De Groote Financial Group September 29, 2021 No Comments

Churchill said, “Never give in. Never give in, never, never, never… Except to the convictions of honor and good sense.”

Looming Shutdown… The politicians threaten a shutdown. Lord knows we should send the politicians home first. If there ever was a group that needed a pay cut, this group is at the top of my list.

What does it mean – It will never happen. Just theater, but you can expect a bit of volatility. Just like the vaccine, D.C. will exempt itself from any lack of funding for its members and staff.

CPI… Consumer Price Index increased by .3% month over month, excluding food and energy. You know, the things you use daily.

What does it mean – CPI is up 5.3% year over year if you do not include food or energy. The reality is you still eat, drive, heat, or cool your home and real inflation is far greater. Motor fuel was up 2.8% for the month of August, and energy was up 2%. Food was up .4%.

Evergrande… One of China’s largest, if not the largest real estate company in China is about to fold.

What does it mean – This is a classic issue of a real estate developer that became over-levered. Yet, China will do what China wants, and investors will pay the price. This is why no one trusts the accounting that comes from China. It is truly bait and switch and has never been transparent. Not to mention, if China wants to raise money, they are all fine and dandy using foreign capital to prop up their financial institutions and infrastructure projects, yet swift to change the terms of the deal when things get tough.

Cryptocurrency… China decides it is now illegal.

What does it mean – Governments that are big enough to give you something are big enough to take it away. Socialism destroys capital, and this is just another example for us all.

High gas prices in the EU and shortages abound… The Netherlands has shut its gas fields in the name of climate change.

What does it mean – Well, you thought it was bad in CA. The EU is running on fumes. BP gas stations in the EU and England say they are “running on empty.” What will come of all those electric cars that can’t get power because the Netherlands has cut off the gas used in power plants? Good thing we let the Russians build their pipeline. We saved Europe from the Nazis and Eastern Europe from communism. Who will save them from themselves? I just can’t make this stuff up.

A little advice. Stop fearing what you can not control. If this issue is something you fear, start acting locally. Stop listening to fear mongers like Prince Harry and Meghan, Leonardo di Caprio or Al Gore. They all fly on private planes, have massive homes, and make you and I look like the ultimate environmentalists. And yes, my wife will tell you I need to do a better job sorting our trash.

The fall of Civics… Civics – the study of the rights and duties of citizenship. Well folks, if you do not know your rights, how are you going to protect them? Our country is the only country that limits the government’s power.

What does it mean – Civics Education is a disaster. Without it, business and intellectual freedom cease to exist. One’s liberty is being cheaply traded for the perception of safety. Wealth creation destroyed by the promise of an equal outcome, abandoning the very reason people from across this globe fight tooth and nail to become citizens of the United States. Our countries’ promise is not a free handout but the promise of equal opportunity. It is fueled by a dream of self-determination.

COVID, while serious, is fueling and aiding in the only thing government creates…More government, more bureaucracy, more regulation, and more dependency.

President James Garfield famously said, “Now more than ever, the people are responsible for the character of their Congress. If that body be ignorant, reckless, and corrupt, it is because the people tolerate ignorance, recklessness, and corruption. If it be intelligent, brave, and pure, it is because the people demand these high qualities to represent them in the national legislature… If the next centennial does not find us a great nation… it will be because those who represent the enterprise, the culture, and the morality of the nation do not aid in controlling the political forces.”

Today we have a group within Congress that has no clue what the constitution is or what our Bill of Rights stands for. For the sake of liberty and your prosperity, and our children’s future, please read our Declaration of Independence and our Constitution. If you do not have one, I will get you one. Just ask at [email protected]

Always at your service,

Doug De Groote, CFP®, MBA, CTC Managing Director

De Groote Financial Group, LLC is a federally registered investment adviser that maintains a principal office in the State of California. The information contained in this message is confidential, protected from disclosure and may be legally privileged. If the reader of this message is not the intended recipient or an employee or agent responsible for delivering this message to the intended recipient, you are hereby notified that any disclosure, distribution, copying, or any action taken or action omitted in reliance on it, is strictly prohibited and may be unlawful. If you have received this communication in error, please notify us immediately by replying to this message and destroy the material in its entirety, whether in electronic or hard copy format.
Disclaimer: This article is solely for informational and educational purposes only and contains information that is not appropriate for everyone. Nothing herein should be construed as the provision of personalized investment advice. This article does not provide legal, tax or accounting advice. Before making decisions with legal, tax or accounting ramifications, please consult the appropriate professionals for advice that is specific to your situation. Your experience may vary according to your individual circumstances and there is no guarantee that the views and opinions expressed herein will come to pass. Information presented herein is subject to change without notice and should not be considered as a solicitation to buy or sell any security. This article should not be regarded as complete analysis of the subjects discussed.

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