Rational Advisor

virtually everyday, we get a comment, email or concern around the death of the USA

it goes something like this

- The debt is too high
- Their losing the War,
- Their president is useless
- The currency will fall to zero
- Nobody wants US dollars
- The credit crunch is going to close down the country
- The US consumer is spending too much money, and doesn’t have any assets to speak off
- The US is going into a recession
- The Fed is failing

Yep, all of these and a lot more

Well, this is how I look at it

We are not investing in the USA, the country, we are looking at or investing in US companies that get their revenues globally.

Like

- Procter and Gamble (a global consumer products company, who happens to be headquartered in the US, with a dividend yield of 2.14%)

- Wal-mart (a global retailer, that happens to be headquartered in the US, with a dividend yield of 1.81%)

- Archer Daniel Midland (a global corn company, that happens to be headquartered in the US, with a dividend yield of 1.06%)

- Connoco-Phillips ( a gloabal Oil company, that happens to be headquartered in the US, with a dividend yield of 2.15%)

- Altria Group (a global consumer products company, that happens to be headquartered in the US with a dividend yield of 4%)

- McDonalds (a global fast-food company, that happens to be headquartered in the US, with a dividend yield of 2.96%)

- Pfizer Inc (a global pharmaceutical comapny, that happens to be headquartered in the US with a dividend yield of 3.1%)

- General Electric (a global conglomerate, that happens to be headquarteed in the US, with a dividend yield of 3.57%)

So, as you can see, the US debt doesn’t mean much to these “global” companies.

As long, as you Keep eating at McDonalds, keeping taking those magic blue pills from Pfizer. keep on driving your car to work and using Oil, Keep on shaving and brushing your teeth everyday with Gillette or Crest, Keep on Shopping at Wal-mart, Keep on eating anything with Corn in it (including Corn Oil), Keep on using machinery manufactured by GE, or paying your car leases etc

You are giving money to these companies, irrespective of whether the US dollar has fallen, irrespective of what war is going on in Iraq, Iran, etc, irrespective of which presidential candiate is doing what to whom

Stay Rational - and let these Chicken little have their worlds fall apart. Let the doomsayers predict the end of the world (for them)

You just remain rational, and take advantage of them

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