As you take action to safeguard what you own, you may realize 6, 12, 18 months from now that the composition of your wealth is different from what it used to be.

Let me invite you to look at the structure of your wealth as it is right now so that you get a 360-degree view of what you own and an idea of the actions you should take based on your perceived risk. These will be the thing(s) you should focus on to safeguard what you own.

Let’s start with a simple exercise. Just fill the below sheet in the currency you fancy. Print this sheet to fill it or do a print screen of it and write directly on it in an Excel file, for instance, or a picture editor.

Guidelines to fill it:

• Start with filling the current value which is the first column. For each asset you own, it is the price you would expect to sell it now, not the price you purchased it, which may be different. For example, if you purchased a house for USD 400k but can only expect to get USD 300k out of it now, write USD 300k. Same thing for stocks, precious metals, and cryptocurrencies; it is the current value. There are a few lines for FIAT currencies, as you may be holding different currencies right now. Cross out any asset that does not apply to you.

• Once done, continue with the second column, which is your perceived risk that this asset will lose value in the next 6 months from now. Simply put a “L” for low, a “M” for medium, and a “H” for high risk. For example, if you hold FIAT such as USD and expect the value of USD to drop then you may want to write a “H” for high risk that this asset loses value within the next 6 months.

• Continue with the third column, “trust you have in the person or entity keeping your asset.” Same here; use L, M, or H. A “L” for low trust and a “H” for high trust. For example, if all your cash (FIAT) is inside one bank and you have very limited trust in this bank, given what is happening, then you may want to log an “L.”

• The last column is about actions you want to take. Let’s go through this together.

  First thing first, identify where most of your wealth is, circle it, and make it visible. For instance, it could be that 80% of what you currently own is a house or that you have allocated most of what you own to cryptocurrencies. It’s important to know where most of what you own is, as it could be that most of the risk of losing value is located there.

  Now, circle in red any “H” in column 2 (you perceive a high risk that the value of this asset will drop within 6 months) as well as any “L” in column 3 (low trust in the person/entity keeping the asset).
  Let’s look at the risk that the asset loses value. If you have assets that are associated with an “H” and this asset represents a significant share of what you own, then you may want to take action such as:

• Reallocate the value you have under this asset to another asset. For instance, if you have a pension plan and expect it to lose value, you may want to withdraw it, if possible, and reallocate it to precious metals.

• Reduce the amount of value you have under this asset. For instance, if you have USD 50k at home or in the bank and expect the USD to drop, then you may want to move USD 40k to another currency.

• Let’s look at your trust in the person/entity keeping your asset. For anything you circled as  “L,” you may want to:

• Reallocate the value to another person/entity. For example, you have EUR 100k of FIAT at Deutsche Bank, a German bank, and you have a low trust in this bank as you know it supports the Great Reset initiative. Well, one of your options is to move part or all of your EUR 100k to a neo-bank, for instance. Another example: you live in Canada, and you have a house with land. You own your house but have limited trust in the government. You may want to sell your place, buy a property in Mexico and rent in Canada, regroup with your family, or simply move to your new property in Mexico.

• I invite you to write down actions you want to take. The action may not be well defined at first. It is fine. As you get more information, you will fine-tune your idea. The key point is to take a few actions that reduce the risk of what you own and focus on these actions exclusively. If you think about it, you can do this exercise below and start moving value from one asset category to another in a few hours. For example, imagine you are overexposed to FIAT currencies. You expect the specific FIAT you have to drop. You decide to allocate 40% of what you own in FIAT to silver, a precious metal. That takes you around 3 hours. 8 months later, you look back at what you did. your intuition was indeed correct. These FIATs you had have significantly dropped, and silver gained 25%. What do you think of the return on these 3 hours spent?

  Find some quiet time to do the exercise. Do not hesitate to share the results with someone you can trust or even require personalized help from Andrew Icedale.

• A note on the last row, “debt”. Debt is what you owe to someone or an organization. For instance, if this is a mortgage, this is the remaining capital plus the interests. Log an H in column 2 (perceived risk) if you expect your debt to increase. Column 3 (trust you have in the person/entity keeping it) does not apply.