15 Ways Rich People Benefit From A Recession

hey there alaer now with a recession just ahead of us what better time than now to give you a look behind the curtain on how the rich get even richer when the economy is in shambles like it kind of is and you mentioned you wanted a shorter intro on these videos so let's get started welcome to alux the place where future billionaires come to get inspired number one government bailouts now you can be as irresponsible as you want with your business and push your leverage to the edge because the moment you're about to fail the

government steps in and gives you free money just to keep things going now this might not sound fair as the government doesn't step in when as an individual you're close to bankruptcy but these companies are an important part of the economy they hire thousands of people with which if they were to fail the government would have to deal with them as well this is what happened with banks in 2008 and what happened to airline companies back in 2020 the rich have the ultimate safety net the government and speaking of number two government bonds now those

who are not struggling are picking up government bonds left and right so a Government Bond is basically the government's way of borrowing money from businesses and individuals with a pretty decent return and little to no risk the rich pick up these bonds and the government pays you interest these are seen as very safe Investments Because unless the government collapses you're getting your money back and your interest more economically developed countries use these financial instruments to regulate the market without the need to print new money and devalue the currency number three dumping or shorting stock before

it hits now there's a reason why the rich constantly have their eye on the market they like to think one two three steps ahead of the curve and put themselves in the right position to make the most of what's about to happen so back when Co began spreading in China many ultra wealthy individuals took not and started selling the stocks they were most likely to be affected by the virus as well as shorting the market short sellers made over $50 billion during coronavirus selloff now here are two examples of this being done right so billionaire

Bill Amman the CEO of persing square Capital Management turned $27 million into 2.6 billion by betting that the markets are going to crash due to Corona virus that's what using leverage allows you to do the second example is lot shadier so Republicans Richard Burr Kelly ller and James inhof and Democrat Diane Feinstein collectively offloaded up to $1 million in stock between late January and early February weeks before the public got access to that same information number four buying stocks at the bottom now when the economy takes a nose dive and everyone's freaking out the rich

see this as a chance to make Bank while everyone else is stocking up on toilet paper the wealthy are snapping up assets that are dirt cheap because the market is crashing so basically a recession is like Black Friday for rich people this is one of the things that we took advantage of ourselves during the downturn and our portfolio has provided over 40% returns by taking advantage of the Market's Doom and Gloom the rich can set themselves up for a big payday when the economy bounces back this strategy works best for those who are in it

for the Long Haul have enough cash to ride out the storm number five renegotiate everything now the rich love getting better deals and this is the perfect time to pick up the phone everything you can refinance gets refinanced businesses and banks are so desperate to keep their important clients that they agree to terms that they wouldn't have accepted normally just by picking up the phone and renegotiating the rich are not only increasing their returns but also freeing up money for everything else on the list everything is negotiable alexer you're just you're not used to negotiating

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first million today's the last day to secure this deal though so you know what to do download the app scan the QR code and I'll see you on the inside number six buying bankrupt companies now what if you were a large company and could purchase infrastructure intellectual property fully trained employees and raw materials that she would normally pay a premium for but at a fraction of the cost sign us up big companies are swimming in the market just waiting for their competitors or tangent businesses to collapse so they can pick up everything for scraps think

of the airline and cruise ship industry back in 2020 they were hemorrhaging money because nobody was flying or taking cruises but it didn't mean those planes and ships weren't valuable in themselves they just needed to be used used the question is will you survive long enough to make it through number seven buying real estate Dirt Cheap now companies aren't the only thing that's struggling here we consider real estate the best possible asset anyone can own the process is simple recession comes along people are scared some lose their jobs some struggle more nobody is splurging on

anything the economy contracts there's little demand from the massives so prices drop because normal people can no longer afford it the rich come in and pick up everything of value at a fraction of the cost developers have been building like crazy more often than not on credit assuming the demand will be there when the building is over but with people unable to buy the banks will come knocking asking for the money they're owed if you could buy the apartment you're living in for half the price it's worth then why wouldn't you number eight insurance now

you might be scratching your head at this one but we want to share a story and a little bit of insight that many of you might not be aware of to know how many of you are tennis fans in the audience but most of you should know about Wimbledon the tennis tournament right it's the big one so for the past 20 years they actively paid for pandemic Insurance in total they ended up paying around $30 million so far in Insurance costs the payout from the coronavirus claim is a ballpark of $140 million making it one

of the best investments anyone could have made so what happens when insurance companies are not doing so well like in the case of the recent La fires well some hedge funds increase their short position including those on insurance firms essentially betting against them knowing their valuation is going to go down number nine low interest rates now when the economy is at a standstill banks are also losing money so they're doing their best to pick up new business and they do so by lowering interest rates rich people with a great track record can simply borrow money

for little to even zero interest this is where having done this before and having your credit score ready comes into play as a massive competitive Advantage this allows them to refinance everything without trouble the bank will loan you money so you can take advantage of the downt in the market just because you've proven that you're able to pay it back number 10 more people looking for work means it's cheaper to do business now recessions are great for those who are able to keep the business going it forces you to trim out the fat of the

business and go really lean a ton of people get laid off those who get to keep their jobs are thankful costs of doing business drop significantly this creates an imbalance of power in the market the more people are looking for work the cheaper it is to hire and the less you have to pay your employees because there's always a bunch of people waiting in line at the door to take your spot it's volatile out there but you can take things into your own hands if you're courageous enough at al.org we've got six premium learning experiences

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you'll get 25% off the cost of the course so you know what to do you'll find freelance Mastery at al.org number 11 move money to tax Havens to store value now one of the things that rich people fear the most is governments devaluing the money they worked so hard to get through inflation now inflation comes as a result when new money is printed and floods the economy for the past 100 years this has been the main play governments have taken in order to stabilize the economy just print more during the Great Recession the FED printed

about $3.5 trillion over 6 years during covid the FED printed more than half of that in just a few months the rich see this coming and are looking to safe guard their Investments so they take their money offshore they buy gold silver and crypto they also diversify their currencies purchasing less volatile ones like the Swiss frank or the Norwegian Crona number 12 contracts with the government so in order to boost the economy governments need people to work right so they begin infrastructure projects and Grant these contracts to businesses but the rich own most of these

businesses thus making even more money for them but at least they're hiring people and some of that money trickles down there's nothing more Recession Proof than government contracts number 13 stocking up on raw materials now when economies come to a standstill both people and businesses stop buying raw materials so the price for them drops in direct proportion with the demand it doesn't mean that gas oil iron and so on lose their intrinsic value no it's just that people don't need them right now the rich who've been sitting on cash well they purchase and store these

raw materials and wait for the recession to blow through before putting them back on the market when the demand and price for them returns to normal number 14 they invest in businesses that thrive in a recession now every economic shift comes with a new breed of thriving businesses after 2008 we got Uber Airbnb and so many others the the most thriving sectors of the pandemic have been e-commerce with a focus on food products and delivery and Online Entertainment now we're looking mainly at Ai and automation followed by biotech and Longevity the point is Rich folks

are keeping their eye on upcoming startups with the option of getting in early as an investment and number 15 they purchase luxuries when others are forced to sell now some particular pieces of Art Collectibles and premium properties rarely go on the market but recessions are special in that sometimes they force wealthy individuals to liquidate their luxuries in order to cover holes in their sinking ships that's when the rich pick up the rare Picasso they've been eyeing for years or that Ferrari 250 GTO that's been eluding them premium properties never hit the market like most of

you are used to from personal experience we can tell you that high-end Brokers and real estate agents already have a curated list of customers who are notified that said item or property might be coming up for sale and if they're interested in placing a bid usually if it hits the General market the first wave of Rich individuals didn't want it they passed so what about you Alexa you might not be super rich yet but you definitely have some ideas to come out ahead from this so how do you plan on making money during this recession

and as a thank you for watching until the very end of course you're getting a bonus recessions determine the New World Order now before you start putting on your tinf foil hats and start talking about the Illuminati okay this is not that instead this has to do with macroeconomy and geopolitics and since we made the video short for the masses we'll do a longer dive for you the true alers the more you study economic history the more you understand the cyclical nature of all of it we're not going to go into the long-term debt cycle

versus shortterm you can look that up for yourself but basically every 50 to 100 years there's a major shift in international hierarchies after the second world war the USA came out ahead to become the number one top dog in the world this gives you certain Financial privileges the US dollar became the international Reserve currency and once the gold standard was removed the US basically played the money game with cheat codes allowing itself to print as much money as it wanted and still retain its value this is likely about to change though with China overtaking that

number one spot once again now many of you might not know this but historically China has been the world leader for way way longer than the us but the big problem is these changes do not come peacefully it's usually war or a Great Depression that drives them and statistically we're toward the end of the cycle and changes are due the moment China overthrows the us as the number one leading superpower the Yen becomes the reserve currency and the entire US Financial system will collapse forcing the US to retaliate with its military or accept its fate

historically the larger the gap between the rich and the poor the closer you are to war in general the first steps are usually a state of unease losing trust in government and a rise in populism all of which we've been seeing around the world in the past decade now we don't have a magic crystal ball to predict the future or anything but it looks like we are still in for a couple more once in a-lifetime events okay so no matter what happens we hope all of you will find your spot and thrive in the upcoming

world if you've made it to this point please write the word NWO in the comments most people will have no idea what it stands for but we'll know that you watched until the end and we thank you for it we'll see you back here next time alexir until then take care