…but this discussion about slowing population growth is rubbish!

If either Gillard or Abbott want to slow how many people come in to this country, here’s what they have to do.

…put the brakes on the economy. They both know that – surely…

That’s right, they have to kill the goose that makes them look good.

So, it’s pretty easy to work out that that aint going to happen.

We will have probably more than 36 million people living in Australia in 20 years time. Currently, we’re at 22.4 million.

The reason why we’re getting so many people flocking to our shores is because we’re going through economic boom conditions. We need people to come here who are willing to work and are skilled.

Sure, we can get some of the Aussie’s to do it, but with full employment and a lot of lazy people on the dole, where are those folks going to come from?

Dick Smith said our solution to skilled migration problems is kicking some of those lazy dole bludgers in the backside… Dick estimates 4 million people who are called “functionally illiterate” can be trained to take on the skill shortage front.

Do you think that will happen? Did you even know there was a group of people in this country who are “functionally illiterate?”

Anyway, we haven’t always experienced massive migration. We fell away to virtually zero migration during the 1890′s, 1930′s, mid 1970′s and early 1990′s.

Do you want to have a stab in the dark as to why?

Pretty easy, aye?

All of those periods were tough financially. Most were recessions.

But again, the media hypes everything up and get’s us all worked up when we see the illegal immigrants on frail boats entering our country and branding them as queue-jumpers.

Do you want to know how many of those there are?

3,500 annually.

Nothing really.

We’ve got 42,000 people who arrive in luxury using Airbusses from all over the world who overstay their welcome of 3 months and settle here for at least a year.

…many of whom find their way to permanent residency.

So my friends, growth is going to happen and that will lead to strong financial opportunities if you just stopped listening to noise and started thinking about what’s really going on.

I’m not just talking about opportunities in real estate, they should be obvious to you. We’re struggling to cope with the influx and way behind on supply.

Don’t think anything is going to change in the next 10 years… Good times ahead.

The stock market and equity markets will continue to prosper as well.

New businesses that know how to identify hungry markets and not follow the traditional path of heavy capital intensive infrastructure setups will also make big bucks out of our expanding population.

Whilst the retail figures were flat recently, the labour force figures that came out last week showed that employment growth is now running at more than 3% a year, which means 340,000 new jobs were created in the last 12 months.

What does that mean?

People aren’t spending… They’re saving.

This is a world-wide phenomenon, not only is it happening in Australia but it’s happening in greater percentage increases in places like the US and Europe.

When the confidence really comes back and folks start putting their hands in their pockets and spending, we will see another massive surge in all markets.

Some of you may agree with this… Some of you may not.

I read lots of contrarian views that say the complete opposite. Some of these guys have been talking down the property boom for 3-5 years now. Whilst others have simply made hundreds, maybe even millions of dollars in the meantime.

I’m one of those. I hope you are too.

The immigration at the moment is just a political smokescreen. Neither party will be in power long enough to be able to make dent – and in any case, it would be political and economic suicide if they were even serious about it.

If you’ve read this far, you probably have a view. You can respond and jump on your soapbox below. Go there and have your say…

Have a great weekend.

Signed with Success,

Jon Giaan
Knowledge Source

I certainly am.

Reading all the headlines, you’d think we’re on the cusp of a property crash and diving into another global crisis via a double-dip recession. Run for the hills!!

Add an election to the mix and you’ve got a recipe for massive procrastination.

So what can we make of it all?

Let’s see if I can help…

I think the Reserve Bank of Australia went way over the top with its interest rate hikes. We went from a 3% cash rate to 4.5% in just 6 months.

This was a massive 50% increase and the most aggressive in the western world.

So why did Glen go so hard?

He had eyes only for the property market and the only way he could stop it was by using interest rates as his evil weapon against his perceived property boom.

He’s thinking was… Slow down the property boom and we’ve got a chance at improving the housing affordability of everyday Australians.

Since his crusade 6 months ago, he succeeded in putting a pause on property prices, but only after 6 months of solid real estate gains in most markets.

…and this week, we receive evidence that is he has also killed affordability with the following headline, “New Home-Starts Fall a Further 5.2% in June”

Some uneducated investors see those type of headlines and think we’ve got a serious problem.

Here’s what I think…

The down-turn in new home sales is by and large the product of the end of the government stimulus for first home buyers and the increase of interest rates, which has led to the following problems…

The lack of available land… Chronic lack of development finance leading to a lack of development activity… Council planning regulations taking far too long to release projects… Infrastructure delays in new development areas.

All of this will mean one thing.

That the housing shortage will continue to increase and prices will continue to push upwards… and the people most disadvantaged from this are the ones that the RBA boss, Glen Stevens is trying to help… those who are trying to buy their first home.

So all the shenanigans going on right now will push the expanding population into the rental market.

What does that mean?

Rents will significantly go up in the next 12-24 months.

Great if you’re a property investor, not much good if you’re a tenant.

So what I’m saying here is that there will be no property crash – full stop.

What we’ll see over the next several years is single-digit growth across many markets and if you’re smart and savvy within certain markets, you’ll be able to achieve much better than that.

You see, when most of the stats are quoted, they’re typically an average of all markets. So if we see 6% growth on average, it would not be unusual to have certain areas within property that have grown by 25%…

On the flip-side, some areas may fall by 10%.

That’s why I think you need to stay on top of your game, stay invested in areas that are likely to grow faster than others.

…research, research, research…

On another subject, and that is clearance rates, I often have a lot of fun with this sort of data… But here’s something you probably don’t know.

The clearance rates that the average investor seems to hang off every Monday morning reports only 20% of property transaction nationally.

That’s right, just 20%.

So does it really mean anything?

N.O.

Here’s something else that you need to know – all it really shows is people selling and buying.

12 months ago, we might have had a clearance rate of 55% with 400 properties on the market. In the current climate, we’ve got clearance rates of 67% with 900 properties on the market.

All this stuff is just noise to fill up newspapers and get your attention.

The macro picture (long term) is still so strong for property in this country that you’ll kick yourself if you sit on the fence again.

Interestingly, I was listening to professor Keen the other day and he is still ranting and raving about the 40% drop in real estate. The guy doesn’t give up.

He said that his initial prediction of a 40% drop was over a 10-15 year period… Not 2 years after the GFC hit. He was misquoted.

He also said that the fall would be from peak to trough.

What that means is, let’s say real estate has gone up 30% in the last 3 years since his prediction and it falls down by 30%, then Mr. Keen is right… Because real estate has fallen overall by 30% and it’s created a new peak and trough. (Economists are never wrong – they’ll find a way).

Confused, aren’t you?

It’s just more shenanigans by economists who are perhaps too close to the data for their own good.

My last point for today… What about a double-dip recession?

Here’s all I have to say about that…

It seems to me that everybody has almost guaranteed themselves that this is going to happen. From my experience, when the mainstream press and the man in the street are talking about a double-dip recession, then it’s likely not to happen and in fact go the other way.

Now of course in Australia, we never went into recession. And considering that I don’t think the global economies are going to go into a double-dip recession – I think it puts us in a good position going forward.

Just think contrarian (always go the opposite direction of the herd – most people are generally wrong).

They’re my thoughts.

Probably needs to be said, I failed high school, never did economics, wasn’t very good with maths, have absolutely no financial planning background – so everything I say here is basically my opinion based on my results (8-figure real estate portfolio, 7-figure stock market portfolio, 8-figure business).

…so please, before investing see a certified financial planner or follow the smart money.

That’s all for today.

Signed with Success,

Jon Giaan
Knowledge Source

P.S. So what do you think? Jump on your soapbox and let the rest of the Knowledge Source people hear your views below.

I know you like predictions – so I’m going to give you some.

Let me start off by saying that I have no economic degree, never been to university, failed HSC twice and only in the last 10 years have the lights gone on in regards to investing and business.

Since that time, I’ve turned over millions, invested millions, made millions.

By and large, I’m an investment fanatic because I want to control and invest my own money… and not be a victim to biased advice.

So on that basis, I want to give you a perspective on where I think we are globally and make some bold forecasts going forward for 2010.

I did this recently in October and it makes for very interesting reading.

If you missed that valuable article, click on this link right now and see how my forecasts have turned out even in this short period of time.

http://knowledgesource.com.au/my-predictions-the-next-big-moves/

Now a lot of my views for the local market still hold true.

But I’m looking at big picture now, globally… which will impact where, what and how much of my money I’ll be investing in these new developments.

>> Prediction #1: The American Dollar will get Smashed!

So what? You don’t live there – who cares, right?

You should – “There is gold in them thar hills.”

The American government will not stop printing money. I was recently over there and I can tell you things don’t look good for the Yanks.

Their printing presses will just continue to pump money in to the system until things settle down. That’s the only thing left that they can control… Their Reserve Bank is almost out of bullets by lowering interest rates even lower.

Amazingly, there has been over 120 bank failures and the official unemployment still rising is at 10%+.

In simple, layman terms… The U.S. government have settled on the fact that their only option is to print money and hope they recover fast.

That’s why their currency has devalued and ours has benefitted from that.

Expect the Aussie to be beyond parity half-way through 2010.

If you don’t have a plasma screen, wait 3-4 months and I bet you will get a killer deal. Even cheaper than they are right now. That goes for all forms of electronics.

Sorry, I digress…

Now, what’s the play on this forecast? Because I know that’s what you really want to know, right?

But let me ask you, will you do anything with this information?

Let’s see – time will tell…

Now, because of the acceleration of the US dollar demise, global investors will “crap” themselves and will want to reduce their risk by selling out of the US dollar.

So, the abandonment of the dollar will see tangible assets come back in favour. Real estate, stocks, resources, especially silver, copper and of course gold. When I talk about real estate in this context, I’m talking about the US.

I’ve already started investing in hard US assets in the form of real estate. I believe this is one of the greatest buying opportunities of any asset class I’ve seen for 40 years.

I’m buying properties at $25,000 – $30,000. The last time they were these prices was in the 1970′s. If I told you that you had an opportunity to buy real estate today at 1970′s prices – how much real estate would you buy…?

As much as you could afford. But so many people just hesitate. I understand that, if you don’t do the homework, research… you’ll never know if anything is a bargain or not – correct?

******** HIGHLY RECOMMENDED ********
Sneaky way to profit in 2010. All done for you.
(Deadline closes deadline, December 17th)
Check this out now:
http://knowledgesource.com.au/jbglobal
****

>> Prediction #2: Gold will reach $1,500 per ounce.

Gold is on its way to that target and is trending up strongly. The central banks, who are moving out of US dollar are moving into gold in a big way.

One country that is highly exposed to the US currency is China… and let me tell you they’re buying gold not by the ounce, but by the tonne… and in Australia’s case they just buy the whole bloody mine.

This forecast has been so obvious to me and others, and again it’s directly attributed to the “money print on demand” mentality of the US government.

The play on this one is simple.

A: Buy gold bullion.
B: Invest in gold stocks.

******** HIGHLY RECOMMENDED ********
Sneaky way to profit in 2010. All done for you.
(Deadline closes deadline, December 17th)
Check this out now:
http://knowledgesource.com.au/jbglobal
****

>> Prediction #3: Oil to go back to $100+

This one will confuse a lot of people because the obvious thought is that oil should come down in value because consumption will follow the economic slide down.

However, the reverse will happen.

Here’s why…

The money to fund oil explorations has literally dried up. This will impact upon the supply and demand principle greatly. I’ve even heard stories that large oil tankers are parked in the sea, unwilling to dock until oil prices rise again.

Crazy, I know. But these sorts of actions will drive oil prices higher.

I expect oil prices to range between $75 and $110 throughout 2010.

Investment play: Buy companies that specialise and have good supply lines of oil.

******** HIGHLY RECOMMENDED ********
Sneaky way to profit in 2010. All done for you.
(Deadline closes deadline, December 17th)
Check this out now:
http://knowledgesource.com.au/jbglobal
****

>> Prediction #4: Economies of China, India and Brazil will grow four times faster than the US. Check this out…

The GDP of the US is growing at 1.5%… Europe is at 1.5%… (at least it’s growing)

China is at 8%… India at 7%… and Brazil at 5%.

What about Australia?

Well, we’re benefiting from the Chinese and Indians and are growing at 3.4%.

China will grow at incredible break-neck pace next year, pushing 10-12% growth. They’ve got a $580 BILLION spending plan that is not being funded by borrowed money (like the Americans), they’ve already got it in cash.

Investment play?

Anybody who sells stuff to China. Sorry to be cryptic, but an obvious one here.

The Australian stock market will be a major beneficiary of China’s growth next year, especially resources.

Also, Asian real estate will grow consistently throughout 2010. Especially places like Indonesia, Vietnam and Thailand… I haven’t bought anything there yet, I’m doing my due diligence and research.

Sidenote: The well-cashed-up Chinese are already making an impact in the Australian property market in a lot of areas. They are single-handedly pushing up prices by 5-10%.

More about this in articles to follow… But here’s a tip.

BIG TIP: Look for the best PUBLIC high-school areas (not private) and you will notice a growing trend of Chinese buyers pushing prices through the roof. I did this 18 months ago and have had almost a 29% increase in value.

(Thank me later on that one)

…There you go, I’ve got more but they’re the big ones for 2010.

So what will you do with this information?

Sit on the fence?

Think about it?

…or will you seriously consider what is currently going on in the world and benefit from it by taking some meaningful action?

Me personally, I’m invested in tangible US assets in real estate and have put a big chunk of cash into the Aussie market.

I’ll be doing more of this going forward.

Hope this helps.

Let me know your thoughts, are you going to sit on the sidelines or take action?

Comment below.

Signed with Success,

Jon Giaan
Knowledge Source

P.S. If you don’t have the time, skill or a large capital base… then you really should be looking at what Justin Beeton is doing for investors, to be able to take advantage of these trends in 2010. http://knowledgesource.com.au/jbglobal

In fact, I’ve been doing this all year.

Ringing in my head is the old saying that fortunes are made in times of recession.

I’ve lived through a few, but like all things you need to experience a couple before you finally realise that the above statement is so true.

I get a sense though that some people are missing out. Confused, uncertain, standing on the sidelines and unwilling to make a move.

That’s a bad decision…

My work is to make sure that you take the opportunities that are there right now and clearly see the big picture.

So hera re my precitions of the big next moves and also what I’m up to and where I’m putting my money.

The more I look, the more opportunity I see in all areas right now.

Property, stock market and business…

Since March of this year, the All Ordinaries has gone 53% higher. I think we’re at the start of a decent upward swing that will probably see our market go very close to its previous all-time high within the next 18 months.

I’m backing this view up by putting a substantial amount of capital in the market as of two weeks ago.

I’m not being foolish about this and I’m taking the precautionary steps of protecting my capital just in case I’m wrong.

My view is there’s no point looking back in 2 years time saying, “Damn it! I knew I should have done something – now it’s too late.”

That may be the case in 2 years time, I don’t know. But if you read my newsletter, you know that I don’t sit on the fence.

Roll up your sleeves and take a view either side.

“No view” is simply dumb.

So here we go…

Real estate is going to go higher – we’ve been shouting this all year. The message is starting to get through, but again I get a sense that some people feel that they’ve missed the boat.

It’s really simple. Average selected property will probably rise by about 20-30% in the next 3 years.

If you simply use a 20% deposit to secure a piece of real estate and it rises by 20%, you’ve basically got a 100% return on your money without doing a great deal in the process.

If you don’t understand how a 20% rise can return 100% on your money, then you need to get some basic real estate education under your belt and understand cash on cash returns.

So I’m buying. With a bit of experience, even in a hot market you can still buy under the market and that 20-30% increase can easily become 50% over the same timeframe.

That means a 200% return on your money. Not many places you can go to and get that sort of return without doing a great deal.

Here’s something else that I’m up to… and it’s purely come about the rising Aussie dollar.

I’m going to make a special mention here about the rising Aussie dollar which in real terms means the fall of the US dollar.

I’m doing some research at the moment on the real estate market in the USA, the reason why is with a rising Aussie dollar it means that we here in Australia can buy in the depressed market of the US almost dollar for dollar.

Why is that important?

Well, when the US dollar regains strength (and it will), and the Aussie dollar goes back to 70 cents (which is normal), if you’re holding US assets you’ve just made 30% on the currency fluctuation.

Do you get that? Think about it for a moment if you don’t.

Also, whatever cash flow you’re receiving from US assets, they’ve also increased by 30%.

Don’t be mislead though, I wouldn’t buy US assets just on the dollar-for-dollar parity that we’re about to experience. The deals have to stack up for themselves.

Now, I know you’re not going to believe this – I didn’t believe it at first either, but right now I’m looking at certain areas in the States where the previous sale price was around the $120,000 US mark, and I’m looking to pick up the exact same property for about $10,000 – $15,000 US.

The yields of these crazy low prices are around 30%.

I know, I know… How can this be so?

Im sceptical too… But I’m heading over there mid-November to personally check it out. I’ll keep you updated.

Next, gold, gold, gold…

The demise of the US dollar, which is likely to continue for at least another 12 months will see gold prices head higher… much, much higher.

I think gold hit $1,063 US at the close of trade today and I think that is confirmation that we’ve entered into a new phase of a gold bull-market that could see gold at $2,300 per ounce (inflation adjusted) in the next 12-18 months.

The US dollar slide which will go lower, almost guarantees that gold will go in the reverse.

Two ways you can play this… Just ring up the Perth Gold Mint and simply buy chunks of gold. Or, look at specific gold stocks in the Australian stock market and start investing in those.

Whilst I’m bullish on the stock market, not everything is going to go up. My focus is tightly held to the gold and resources sector.

But what about if you’re in business for yourself?

Well, now is the time to steal market share from your competitors by being aggressive rather than passive.

I recognised this late last year and went on a crazy spending spree of marketing that was tested and measured to the point where I could almost guarantee that for every dollar spent in advertising I would get $3.50 back.

Instead of pulling back, I went forward in leaps and bounds. A couple of things happened.

I doubled my turnover. Yes, that’s right. In the worst economic climate I doubled my business.

I didn’t take any massive risks here, I was testing everything and making sure that I was getting a return on my money fast.

The next thing that happened is that we’ve grown our list size by 250%… and in our business, the real money is in the list.

If you’re in business and you want to take advantage of the emerging mega-trends, you really need to start thinking about growing your business and your cash flow so you can start to build capital and invest in the real estate and stock markets.

That’s all for now.

Let’s see how my predictions pan out in the next 3-6 months. We’ll know by then if I’m right or wrong.

Either way, I’m not waiting around to see what happens.

I suggest you don’t either, jump on board and make things happen.

No time to be a spectator here, spectators don’t make the real money – it’s the guys in the game who make the big bucks.

Talk soon.

I took a massive 5-week break over Christmas and New Years. Lots of time to reflect and think about 2008 as well as plan for 2009.

Nothing has changed though.

• The economic concerns are still ever-present.
• Unemployment is alarmingly on the rise.
• Credit is tight.
• Plenty of wars being fought, but most of that is buried in the press.

…It sure looks bad doesn’t it? At times like this, it’s always handy to look at the past and see the future.

So let’s look back and see some bad times that we’ve lived through, survived and prospered.

In 1780, George Washington said, “We’re without money and have been for so for a great length of time…”

George went on to create a million-dollar real estate portfolio 229-years ago (probably worth a gazillion dollars today).

In 1840 a farmer wrote, “So great is the panic and so dreadful the distress that there are great many farms prepared to receive crops and some of them actually planted – and yet deserted… not a human being to be found upon them.”

We got over that problem too.

In 1857 a newspaper editor stated, “It’s a gloomy moment in history. Not for many years, not in the lifetime of most men who read this newspaper, has there been so much grave and deep apprehension.”

…That passed as well.

In 1873 a famous industrialist said, “All over the country, manufacturers are closing their works and discharging their operatives – simply because they can neither sell the goods they make nor borrow money to carry them until the demand for them revives.”

Sounds familiar? We survived that panic as well.

Interestingly enough, you’re probably completely unaware of the economic disasters that we’ve had throughout history.

There were a few others. These ones you know about. They were:

The Great Depression in 1929
… We got over that one.

Not one, but TWO World Wars.
… They passed as well.

Who can forget the Y2K panic?
… Seems now like a storm in a tea-cup.

Then there was the end of the Internet in 2001.
… The net has never been stronger.

9/11, the day the world changed.
… We survived that as well.

Here’s my point, and it’s a massive lesson…

What appears to be gloom and doom is often just the focus of the media.

Consider what Gandhi once said, “When I despair, I remember that all through history the way of truth, love and prosperity have always won… There have been tyrants, murderers and for some time they seemed invincible. But in the end, they always fall… Think of that …always.”

Your lesson here is that life will always have ups and downs. The secret here is to flow with the tide as best we can. Complaining about how bad it is doesn’t help – it probably makes it worse by blinding you to the opportunities.

In every panic and gloomy situation, those with their eyes wide-open, not focused on the problems seize opportunities.

This “bad” time might become the greatest period of prosperity for you.

What you need to do is listen, act and prosper.

There are opportunities around you if you look for them now.

The past is instructive.

The future is bright.

The only thing you have is the present – and that’s where your point of power comes from.

Don’t be sucked in by the mass-media hysteria which always make sit worse than it actually is – and better than it should be.

With so many people reeling from the worst month (October) in 21 years in the stockmarket, superannuation funds recording -20% growth (bit of an oxymoron) and business people concerned and worried about the economy and the possibility of a recession… As well as jobs under serious threat…

Last week I made $109,351.00 in revenue.

Oh, by the way, it was only two days, Wednesday and Thursday. I took Friday off and spent some time with a friend of mine on the Gold Coast. Ok, it wasn’t all profit but let me tell you there was significant margin in there.

That was Wednesday and Thursday – not bad for two days. I had a bit of work to do on the weekend as well and pulled in another $136,000 in revenue.

So why am I embarrassed?

Well, it’s a bit unfair that in this current financial climate I’m able to make so much money when everybody else is frightened to death.

You’re probably wondering why I’m telling you all this…

So what’s my secret?

..In fact, it’s not even my secret.

I’d love to teach you exactly how to do what I do, but instead of me showing you, you can learn from one of my mentors.

His name is not a house-hold name in Australia, in fact he’s a famous person that no one knows.. Unless of course you’re in the business and marketing circles.

My mentor has done a lot better than me, in the 70′s and 80′s, he made over $200 million with one of his very first products.

Since then, he’s created over $5.9 Billion of sales.

You thought my numbers were big.

He’s semi-retired, has 5 houses around the world, spends most of his time in Switzerland and Cyprus and it’s rare to have him here in Australia.

He’s never done this event in Australia in his 40-year business life.

My mentor is here LIVE next weekend. I’m going, and I know several other top money-makers in Australia who will also be there.

In fact, it’s the only seminar that I’m attending as a student this year LIVE… I’m paying the full tuition fee, even though I could have negotiated a deal with this living-legend.

Why?

Because my return on investment after I attend this event is going to be insanely profitable!

If you’re a business owner, Internet marketer, wealth-seeker or concerned about your job and your family’s financial future, you’d be crazy not to consider rubbing shoulders with Australia’s elite money-makers who will all be there as students, learning from a living-legend.

Find out all about it and how you can participate.

http://knowledgesource.com.au/embarrassed

Signed with Success,

Jon Giaan
Knowledge Source

P.S. Discovering this secret will put you in a position… where you’ll never have to worry about money again. A nice position to be in. http://knowledgesource.com.au/embarrassed