Category Archives: Blog

Minutes Show Fed Want to Increase Rate Hikes & Cut Trillions $ in Bonds

The most recent minutes from the last Federal Reserve Policy Board meeting in March showed a couple of interesting things. Most notably: The Fed wants to increase the pace of increasing interest rates, and they want to cut $4.5 trillion dollars in bonds from its balance sheet beginning this year. The FOMC (Federal Open Market Committee) convened their last meeting in March at which time they voted to raise interest rates by another quarter percent, to a benchmark target between .07%-1%.  Experts say that altering the Fed’s balance sheet by shedding trillions of dollars in bonds is news-worthy because of its amount and concerns over the ripple effect it could have on the stock markets.  Fed members including Chair Janet Yellen have said that this move, in and of itself would lead to another rate hike, possibly in June.

Get further explanation and details on the minutes from the Fed’s March meeting CNBC’s Steve Liesman below.

If you’re worried about a “massive stock sell-off” (with the markets losing 20%, 30% or more of their value) thus severely hurting your retirement nest-egg, then you need to get educated on the exclusive Crash Proof Retirement System from its creator-Phil Cannella and the company’s CEO- Joann Small. This proprietary system is designed to ensure safety for your accounts so when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.

Non-Partisan CBO says: “Debt & Deficits will Explode”

The Congressional Budget Office (or CBO as it is known) is a federal agency within the legislative branch of the U.S government that provides budget and economic information to Congress. The CBO is strictly non-partisan, and does not make policy recommendations.

That’s why its latest report is so frightening.

According to new projections released by the CBO on 3/30/17- Government debt and budget deficits are both set to spiral higher in the next 30 years if current patterns hold. The report warns that the rising debt and deficits, threaten another financial crisis.

The CBO report stated:

“The prospect of such large and growing debt poses substantial risks for the nation, and leaves policymakers with significant challenges. Large and growing federal debt over the coming decades would hurt the economy and constrain future budget policy & hurt the prospects for economic growth”

Due largely to increases in Medicare and Social Security costs, the federal debt will reach 150% percent of gross domestic product in 2047, according to the report.

Watch more from CNBC below.

The current total debt level of $18.8 trillion is about 101 percent of GDP. In addition to rising debt, the CBO also said:

“The budget deficit will more than triple from the projected 2.9% percent of GDP in 2017 to 9.8 percent in 2047.”

The CBO says rising interest rates is another main reason for skyrocketing debt.

 “Rising deficits will add to the debt load because the government will be forced to borrow more at higher rates to cover expenses that will exceed revenues”

To get the debt and the deficit under control, the CBO recommends the government cut spending and increase revenue.

Crash Proof Retirement has been warning of a US and Global debt crash for a while, and our feelings have been supported by world-renowned economic forecaster and best-selling author Harry Dent.

Listen to Phil Cannella and Joann Small’s exclusive interview with Harry Dent on the Crash Proof Retirement Show, below.

Official Statement from Crash Proof Retirement Re: The Philadelphia Inquirer

 

We are excited to announce that Philadelphia icon Richard Sprague has decided to represent Phil Cannella and First Senior Financial Group, home of the Crash Proof Retirement System, as plaintiffs against the Philadelphia Inquirer.

Mr. Sprague is well known for taking and winning cases that involve defamation against good, quality businesses.

Among many others, Mr. Sprague has represented famed trial lawyer F. Lee Bailey, former Philadelphia 76ers guard Allen Iverson, and ironically two co-owners of the Philadelphia Inquirer: the late Lewis Katz, and Gerry Lenfest.

Historically, Mr. Sprague has a great track record for cases against the Inquirer.  His acceptance of our case is a great validation of our stance against that March 5th article.

We are extremely grateful for the continued support we are receiving during this time and we ask that all questions and comments regarding this article be directed to the Law Offices of Sprague and Sprague.

With All Truth,

Phil Cannella

Creator of the Crash Proof Retirement System

Many Investors Believe Markets Have Ballooned Too Much


What is the “true value” of stocks on today’s market?  Investopedia defines “market valuation” as:

“The price an asset would fetch in the marketplace. Market value is also commonly used to refer to the market capitalization of a publicly-traded company, and is obtained by multiplying the number of its outstanding shares by the current share price. Market value is easiest to determine for exchange-traded instruments such as stocks and futures, since their market prices are widely disseminated and easily available, but is a little more challenging to ascertain for over-the-counter instruments like fixed income securities. However, the greatest difficulty in determining market value lies in estimating the value of non-liquid assets like real estate and businesses, which may necessitate the use of real estate appraisers and business valuation experts respectively.”

The most recent Bank of America-Merrill Lynch fund manger survey shows that a record number of investors believe that the current bull stock market (which is now 8 years old) is overvalued. 34% percents of the investors who responded to the survey say they think that equities are over-inflated. In addition to that, 81% percent surveyed consider the U.S. to be the “most overvalued region of the world.”  Many experts have said that 2017 was expected to be breakout year for corporate earnings, but that hasn’t necessarily been the case. If profits continue to lag or fail to meet expectations, then the markets could begin to drop.

Sam Stovall– chief investment strategist at CFRA recently told clients:

“Since prices lead fundamentals, the fundamentals better start picking up the pace in order to justify such extended valuations. Stocks continue to be the asset class of choice, but this crowded trade will likely need confirmation soon from a pickup in growth and forward guidance before investors can feel comfortable pushing prices even higher.”

See what a group of investment experts had to say recently on CNBC, below.

Markets suffered some of their biggest losses in recent memory today. Even though stocks are still at or near record highs, isn’t it time that you put aside all of your retirement worries and sleepless nights, and consider moving your retirement nest-egg in a “Crash Proof System?”

If you’re worried about losing any part of your retirement nest-egg then let Phil Cannella and Joann Small educate you on the proprietary Crash Proof Retirement System. This proprietary system is designed so that when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.

As Bubbles Go, The Student Loan Bubble is Bad

In the world of economics and finance there are all kinds of “Bubbles;” there is the “global debt bubble”; There’s the “real-estate bubble”; & of course: “the stock market bubble”. One bubble that has not gotten as much attention of the aforementioned bubbles however, is the “student loan bubble.” The latest studies that show that student-loan defaults are rising at an alarming pace. A new analysis of government data by the Consumer Federation of America (which is an association of non-profit consumer organizations that was established in 1968 to advance the consumer interest through research, advocacy, and education,) found that the number of Americans in default on their student loans jumped by nearly 17% percent last year (2016). As of the end of last year, there were 4.2 million Federal Direct Loan borrowers in default, meaning they’ve not made a payment in more than 270 days. That’s up from 3.6 million at the end of 2015.

Experts at the Consumer Federation of America say:

“Despite all the improvements in the economy, student loan borrowers are still struggling- We thought in an improving labor market, default rates would improve but we simply are not seeing that.”

According to the U.S. Department of Education, at the end of 2016, 42 million Americans owed $1.3 trillion in federal student loans. This doesn’t include borrowing through private student loans, credit cards, and home equity loans to finance the growing costs of college. (With private loans it’s more like $1.4 trillion)

Mark Cuban, who is a very successful and well respected businessman, and is also the owner of the NBA’s Dallas Mavericks, told Inc. Magazine he believes the student loan bubble is going to burst! See video below.

Defaulting on a federal student loan can be a financial disaster for the borrower. Unlike other types of debts, most federal student loans cannot be discharged in bankruptcy. Those who go into default face serious consequences including: wage garnishment, damaged credit scores and added costs in fees, interest and legal fees. Student debt has risen along with the cost of education, which makes repayment difficult. The average amount owed per borrower rose to $30,650 in 2016, after rising steadily for years. In 2013, borrowers on average owed $26,300.

If you are in or near retired years and are worried about the next economic bubble bursting and blowing up your nest-egg, then you need to get educated on the exclusive Crash Proof Retirement System. There is a safe and guaranteed alternative to the risk, corruption and fees within the securities industry, and it’s called the proprietary Crash Proof Retirement System. If you’re worried about losing any part of your retirement nest-egg then let Phil Cannella and Joann Small educate you on the exclusive Crash Proof Retirement System. This proprietary system is designed so that when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.

Fed Raises Key Interest Rate: Now What?

On Wednesday, the Federal Reserve Open Market Committee voted to raise the benchmark Federal Funds Rate by another quarter percent or 25 basis points. The Fed Funds Rate is a short-term interest rate at which depository institutions lend money from the Federal Reserve to other banks or depository institutions. The Fed Funds Rate is now between. 0.75 -1.0%. The prime rate currently sits at 3.75% but will rise to 4%. Credit companies use the prime rate as a baseline for what they charge customers — generally the prime plus an additional amount. According to Bankrate, savings accounts currently pay on average 0.11 percent in interest, with 1.25% percent the high end. One-year CDs are paying about 1.24 percent on average.

See more from CNBC below.

If you are in or near retired years, and want to lock-in the gains that you have made over the last four months, and never worry about an inevitable market downturn, then you need to get educated on the exclusive Crash Proof Retirement System. There is a safe and guaranteed alternative to the risk, corruption and fees within the securities industry, and it’s called the proprietary Crash Proof Retirement System. If you’re worried about losing any part of your retirement nest-egg then let Phil Cannella and Joann Small educate you on the exclusive Crash Proof Retirement System. This proprietary system is designed so that when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.

Down Markets Indicate a Pullback is Coming says Insider


Art Cashin has had a long and storied career on Wall Street.  He has experienced first-hand many market ups, & several downturns & crashes during his time in the financial industry.

Today Cashin, who is Director of Floor Operations at UBS and a frequent guest contributor on CNBC told the “Squawk Alley” show that the market’s current two-day down streak (its first back to back drop since January is:

“A mild warning signal, to tell you the truth. When we’ve seen those kinds of moves before, the market has either stalled or actually pulled back somewhat. Not anything climactic, but you could be setting up for a 5% to 7% percent pullback.”

Cashin also said that Pres. Trump’s recent accusation that former Pres. Barrack Obama wiretapped Trump’s phones during last year’s election campaign could also add fuel to the fire of a possible market correction.


“The president tweeting about the supposed wiretapping and whatnot took some of the goodwill that popped up after the speech to Congress last week,” and replaced it with the fear that we could go into partisan political warfare all over again. I would be a little cautious”

See more of Art Cashin’s comments to CNBC’s Squawk Alley below.

If you are in or near retirement and worried where the economy is headed, wouldn’t you like to lock in the gains you’ve made on the stock market and never have to worry about another crash or downturn?  There is a safe and guaranteed alternative to the risk, corruption and fees within the securities industry, and it’s called the exclusive Crash Proof Retirement System. If you’re worried about losing any part of your retirement nest-egg then let Phil Cannella and Joann Small educate you on the exclusive Crash Proof Retirement System. This proprietary system is designed so that when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.

Deutsche Bank to Raise $8.5 Billion Amidst Financial Turmoil

“Deutsche Bank is the World’s Riskiest Bank.”

– IMF

Last year the International Monetary Fund said that Deutsche Bank “is the riskiest financial institution in the world as a potential source of external shocks to the financial system.”
Now, Germany’s biggest bank is asking investors for $8.5 billion to help improve its financial health, after the bank has suffered through 2 years of heavy losses. The bank reported a loss of $1.5 billion for last year, following a $7.2 billion loss in 2015. Deutsche Bank is now planning to sell-off a large number of its shares to raise about $8.5 billion dollars. This effort marks the 4th time in 7 years the bank has needed to raise capital, and brings the total raised to $32 billion dollars, which is more than the bank’s current market value.

Deutsche Bank’s share price was battered back in September, 2016, as it crashed to its lowest level in more than 20 years because of worries that the bank did not have the funds to cover its huge legal costs. Deutsche suffered $2 billion dollars in losses. Deutsche Bank shares fell last Friday and continued falling today.

Deutsche Bank also announced changes on two big strategic moves it made in 2015. According to CNN/Money:

  • It’s no longer planning to spin-off its Postbank subsidiary, which has a big retail branch network. Instead, it wants to merge Postbank with its private and commercial banking business.
  • And it’s putting its market trading operations back into the same unit as corporate and investment banking after previously splitting them up.

Deutsche Bank has been trying to climb out from a number of legal cases that have hurt the bank since the global financial crisis. The bank recently agreed a $7.2 billion settlement over toxic mortgage assets, and was hit with about $630 million in fines over a Russian money-laundering scandal.

Geopolitical worries appear to be on the rise. (IE: North Korea firing missiles into the sea near Japan; France dealing with the challenges of a very contentious Presidential election, and now “the world’s riskiest bank-Deutsche Bank” attempting to raise another $8.5 billion in a stock sale.)

If you are in or near retired years, and want to lock-in the gains that you have made over the last four months, and never worry about an inevitable market downturn, then you need to get educated on the exclusive Crash Proof Retirement System. There is a safe and guaranteed alternative to the risk, corruption and fees within the securities industry, and it’s called the proprietary Crash Proof Retirement System. If you’re worried about losing any part of your retirement nest-egg then let Phil Cannella and Joann Small educate you on the exclusive Crash Proof Retirement System. This proprietary system is designed so that when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.

Markets Respond to President Trump’s Speech to Congress

The verdict is in from Wall Street: The day after President Donald Trump’s first-ever speech to Congress proved wildly positive for the markets as the major indices reached new record highs on huge gains on Monday.  Trump impressed many with his address  and he was widely praised for its positive tone.  investors evidently welcomed his “more  presidential tone”, which could give him momentum to helping to push his agenda and bring about comprehensive corporate and individual tax reform, along with a plan that the president said will create more than $1 trillion in new investment.

Zhiwei Ren, portfolio manager with Penn Mutual Asset Management told CNBC:

“The major positive from the speech is he delivered on his ‘America first’ message, but he did so in a positive and uniting way. If his message of ‘America first’ can succeed, this could be positive for the economy” in the near term.”

The President did not detail any specifics about tax reform and deregulation, two key components of the market’s post election rally.

Watch President Trump’s entire debut speech to a joint session of Congress below.

The post-Trump election victory stock market rally has been unprecedented. If you are in or near retired years, and want to lock-in the gains that you have made over the last four months, and never worry about an inevitable market downturn, then you need to get educated on the exclusive Crash Proof Retirement System. There is a safe and guaranteed alternative to the risk, corruption and fees within the securities industry, and it’s called the proprietary Crash Proof Retirement System. If you’re worried about losing any part of your retirement nest-egg then let Phil Cannella and Joann Small educate you on the exclusive Crash Proof Retirement System. This proprietary system is designed so that when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.

Wall Street Will be Watching President Trump’s Speech Closely

congress

It’s not an official State of the Union Address but tonight President Donald Trump will deliver his first speech before a joint session of Congress, where he is expected to put more focus on his economic and political agenda, while outlining which campaign promises, on which he has followed through. Paying special attention to President’s Trump’s speech tonight will be Wall St. as investors try to get a sense on whether his “pro-business” agenda will become a reality.

Quincy Krosby, who is a market strategist at Prudential Financial told CNBC that Trump’s speech will basically come down to two issues when it comes to what Wall Street expects: Scaling back government regulations & tax reform.

“The market has embraced pro-growth, pro-business. At the very core of that embrace is tax reform, it is scaling back regulation. The market wants to make sure that, that agenda is still a top priority. This particular speech has taken on a more prominent role for the market than it has in the past. It’s important, but it’s not where he’s going to get into specifics. This has become a must-see for the markets. There is a growing worry that the Trump agenda is running into resistance. Right now, the market has accepted the fact that it’s going to take longer, that there’s the typical horse trading you get around an agenda like this. It’s not going to be smooth sailing and quickly implemented.”

Among the issues and topics President Trump is expected to address tonight are: Healthcare and repealing the Affordable Care Act (Obamacare); An increase of ($54 billion dollars) in the U.S. Defense budget; and budget cuts in departments such as the Environmental Protection Agency (EPA), the State Department, and both the National Endowment for the Arts (NEA) & the Corporation for Public Broadcasting (CPB) -which funds PBS & NPR.

See more from CNBC below on what Wall Street is thinking on the day of of Trump’s big speech.

If you are in or near retirement and worried where the economy is headed, wouldn’t you like to lock in the gains you’ve made on the stock market and never have to worry about another crash or downturn?  There is a safe and guaranteed alternative to the risk, corruption and fees within the securities industry, and it’s called the exclusive Crash Proof Retirement System. If you’re worried about losing any part of your retirement nest-egg then let Phil Cannella and Joann Small educate you on the exclusive Crash Proof Retirement System. This proprietary system is designed so that when the market goes up, your accounts can experience gains, but when the market goes down or crashes, your accounts stay even; You never lose a penny of your principal and that’s guaranteed! Get educated on the proprietary Crash Proof Retirement System at the next Crash Proof event!

Register here.

There is no cost…No obligation…Just a Crash Proof Education from the creator of the exclusive Crash Proof System-Phil Cannella, and the CEO of Crash Proof Retirement- Joann Small.

See what you’ll learn at a Crash Proof Retirement Educational Event. Watch below.