The Boy Scout Motto!

It is difficult to talk about a Tsunami with the pictures of devastation fresh in mind from the coverage of Japan.  A true human tragedy, my heart goes out to those who have seen and currently face the hardship and destruction.

No one could know the timing or size of the earthquake yet could know one was coming.   How it would show up is one thing, that it would show up is another. 

They knew they lived on highly active tectonic plates and that a strong earthquake was possible along with an accompanying tidal wave.  Yet they chose (not all had a choice) to stay and get prepared as best they could.

We may not know the timing or size of the next financial earthquake but it is being suggested that we could know one is coming. 

We received a major shock wave in 2007/08 that came very close to bringing down the world's financial system as we know it. 

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Part of an interview with Peru Saxena the week of March 11, 2011(Puru Saxena is the founder of Puru Saxena Limited, his Hong Kong based firm which manages investment portfolios for individuals and corporate clients.

“The financial system is recovering but I would argue that it is because of money printing and bailouts.  The end result is that the economic activity has picked up some what over the last couple of years and the world has avoided the Armageddon type scenario that everyone was looking at after 2008 and the bankruptcy of Lehman’s Brothers (bank).

So although the money printing and the quantitative easing (QE) is just a band aid solution to these problems, I’m afraid that if governments had not have done anything, we would all be staring at massive unemployment and a complete failure of the banking system. 

So while I believe that the money printing and QE are morally unsound and absurd, there was no other option.  If the governments had let these banks fail, you and I would not have a job today, and millions and millions of people would be homeless.   If bank deposits and saving had disappeared in the bank accounts we would all have nothing today.”

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These problems have been temporarily postponed, with the “can” being kicked down the road, only after Trillions of dollars have been borrowed and printed.

Most watch the Japanese Tsunami on TV and give thanks that they have escaped this type of destruction in their lives.

Yet is our financial Tsunami still coming?  Does it seem impossible or highly unlikely?  Is it time to have a conversation about this and if so, with who? 

Do we need to start getting prepared, as we have fresh in our mind the damage that can be done.  

My prayers go out to those in Japan and their families, and my prayers go out to those of us who may face our own financial Tsunami.  

Lets choose to work together in community and start getting prepared for what ever may come.