I was very sure of the clarity of what my crystal ball said way back in 2005, and I shared that with all here and was treated as a nut case (who cares, right?)that with concrete action and total trust to its predictions, I confided here that I sold my San Diego house at the peak – Oct. 2005. Then I fled to Austin, Texas, where we are currently enjoying one of the lowest unemployment rates among the biggest states in U.S. With no income tax Austin is a great place for tech jobs. We are also currently enjoying one of the biggest parties anywhere, better than Bourbon St., South by Southwest.
Too bad for San Diego for it is currently unravelling, and so many people there are up to their eyeballs in debt for a loooooooong time. The equity is gone but the debt stays almost forever.
My crystal ball also predicted, and I have made requests for pension fund managers to get out of MBS, CMO, and CDO garbages waaaaay back when many years ago, that defined-benefit pension plans would suffer huge setbacks. Sure enough – the huge chunks that were lost by the County of San Diego pension fund bears the fruition of such a prediction. The chief investment officer had gone buh-bye after $2+Billion chunk had evaporated. Could you imagine working for how so many many years to get vested and then suddenly finding out that your pension plan promised to you might be gutted when the time comes to collect?
Was it good to sell at the top of the bubble to sock away retirement money in safe CD’s because the pension plans might face trouble in another Great Depression? Hell YEAH! My crystal ball predictions were right.
