When it comes to your savings these days there is something else to be concerned about beyond just inflation, central banks and record low interest rates, or a further financial crisis.
Read on to see what this is and how to protect yourself against this new age risk…
How to Protect Yourself from This New “Global Epidemic”
By Justin Spittler
A new financial “epidemic” has begun…
It’s not a stock market crash, an economic depression, or a currency crisis.
If you’ve been reading the Dispatch, you know those are very real threats. But what we’re talking about is even more dangerous. And it’s already happening today…
This threat could instantly wipe out your life savings. The CEO of tech giant IBM recently called it “the greatest threat to every profession, every industry, every company in the world.” It’s the FBI’s “worst nightmare.”
Regular readers know we’re talking about a cyber-attack on your bank account…one that could wipe out every penny of your savings.
As you’re about to see, a cyber-attack is a huge threat to your wealth right now.
Yet, most people are totally unprepared for one. They assume the government will protect them. That’s a dangerous assumption…
Hackers have already broken into many of the world’s most “secure” government databases. They’ve stolen social security numbers, tax records, and millions of dollars.
If the government can’t protect itself, it can’t protect you.
By the end of this Dispatch, you’ll know how to safeguard your wealth from a cyber-attack. You’ll also learn how Chris Wood, Casey’s technology analyst, turned this threat into a big money-making opportunity…
• The government was hit by 77,000 cyber-attacks last year…
That’s more than 200 every day. And 10% more than there were in 2014.
In recent years, hackers have broken into the computer networks of the Department of Defense, CIA, and IRS.
Even the Federal Reserve has admitted to being hacked 50 times since 2011. And that’s only the attacks the public knows about. The Guardian reported last week:
The records represent only a slice of all cyber-attacks on the Fed because they include only cases involving the Washington-based Board of Governors, a federal agency that is subject to public records laws.
According to The Guardian, the Fed has called many of these attacks acts of “espionage”:
The U.S. central bank’s staff suspected hackers or spies in many of the incidents, the records show. The Fed’s computer systems play a critical role in global banking and hold confidential information on discussions about monetary policy that drives financial markets.
Authorities believe the Chinese and Russian governments were behind some of these attacks.
• Not every hacker is a spy…
Many hackers just want money.
You may have heard about the hackers who stole $81 million from the Federal Reserve.
As we explained in March, these hackers used a computer virus to break into an account at the Fed. They then wired over $100 million from the Fed to accounts overseas. Authorities recovered $19 million. But the hackers still got away with about $81 million.
It was one of the biggest bank robberies in history.
• Hackers could rob you just as easily…
To understand why, think about the “money” in your bank account. What is it really?
It’s not a claim to gold or any other hard asset. It’s not even cash. Your local bank probably has less than $100,000 sitting in its vault. That’s not nearly enough to cover everyone’s deposits.
These days, your money is just digital bytes in a computer. It’s backed by nothing but confidence in the banking system.
• The U.S. financial system is far more fragile than most folks think…
JPMorgan Chase, E-Trade, and Scottrade have all been victims of major cyber-attacks.
These are some of the world’s largest and most sophisticated financial institutions. Americans trust them with hundreds of billions of dollars. Yet hackers stole personal data of more than 100 million customers from them.
• Chris Wood, editor of Extraordinary Technology, says cyber-attacks happen every second…
He says cybercrime is now a “global epidemic.” He explained why in last month’s issue of Extraordinary Technology:
According to the 2016 Norton Cybersecurity Insights Report, there are about 19 cybercrime victims per second globally. That’s over 1.6 million victims daily. And it’s 594 million victims per year—nearly twice the population of the U.S.
Cybercrime will soon cost businesses trillions of dollars every year:
The report estimates that each victim loses an average of $358 and 21 hours fixing the problem.
Meanwhile, British insurance company Lloyd’s estimates that cybercrime cost businesses as much as $400 billion in 2015 alone.
And this crime is growing. Market research firm Juniper Research says it will cost businesses over $2 trillion a year by 2019. That’s a four-year compound annual growth rate of about 50%.
• We believe trusting your bank with your entire life savings is a big mistake…
As we’ve shown, hackers outsmart banks and government authorities every day.
A skilled hacker could break into your bank’s computer and transfer or delete your account balance. Your life savings would vanish in an instant.
To protect yourself, we recommend you move money outside of the digital financial system. Start by withdrawing enough paper cash for you and your family to live on for six months. You could store the money in a safe, storage unit, or even under your mattress.
We also encourage you to own physical gold. Gold is real money. It’s a hard asset that computer hackers can’t steal. Plus, gold’s value could soar as cyberattacks become more common.
We also recommend you read our new special report on cyber-attacks. It includes other simple, effective ways to protect your money against hackers. We put hundreds of hours of research into this report. It includes insights from top cybersecurity experts. Plus, you’ll learn seven essential ways to protect your money from a financial attack. Click here to claim your copy.
• While cybercrime may be a huge threat to your wealth, it’s also an opportunity…
Chris says the best way to profit from the rise of cybercrime is to invest in cybersecurity companies. These companies help your bank, stockbroker, and credit card company fend off hackers. They keep your money and personal information safe.
According to Chris, the cybersecurity industry is booming:
The cybersecurity market is expected to grow at a compound annual growth rate of about 18% from 2015 through 2020. That would take it from a $75 billion a year market to a $170 billion a year market over the next five years.
• It’s becoming harder for companies to defend themselves from cyber-attacks…
Chris explains:
Businesses’ networks are growing increasingly complex and difficult to secure. Meanwhile, the tools available to hackers are more sophisticated and easier to use. And the financial incentives of cybercrime continue to increase.
The old “block and protect” model of security is obsolete. That’s why companies are spending more each year on new security methods.
• This year, Chris recommended two of the world’s most innovative cybersecurity companies…
One of those stocks is up 27% since April. The other is up 26% in just over a month.
Chris thinks both stocks will go much higher. But he doesn’t recommend buying them at current prices. New investors should wait for a pullback before pulling the trigger.
The good news is that Chris is following several other exciting, lucrative tech trends right now. One technology where Chris sees a HUGE opportunity is drones. As you may know, a drone is a flying vehicle that an operator controls remotely, operates autonomously, or some combination of the two.
Chris recommended three drone companies in January. He says all three stocks could jump 50% or more. And it’s not too late to invest in the companies either. All three stocks are still “Buys” at current prices.
You can learn more about Chris’ top cybersecurity and drone stocks by signing up for Extraordinary Technology. Click here to begin your risk-free trial.
Chart of the Day
Commercial loan delinquencies are rising at their fastest pace on record…
As you may know, a loan becomes delinquent when a borrower gets 30 days behind on his debt payment. A borrower will become delinquent on his debt before he files for bankruptcy.
That’s why we watch delinquencies so closely. A big jump in delinquencies can signal problems in the debt market long before you see a surge in bankruptcies.
As today’s chart shows, the number of delinquent commercial loans (30 days or more) has spiked to new highs. In fact, delinquencies are rising faster today than they did during the 2008–2009 financial crisis.
Casey Report editor E.B. Tucker explains why this is such a huge problem—and how to protect your money from it—in this free video presentation. Click here to watch.
