Well...
The Federal Gubmint has already spent every dime of our 'G Fund' and Pension assets. The Treasury is clamoring that they will go broke within the month and be unable to pay interest on the debt and Social Security. Taken together, those two expenses will amount to $98 Billion. Revenue for October 2013 should be around $206 Billion - and along with a September surplus of about $120 Billion we should be in fine shape.
But, to be fair, since September is a quarterly tax month let us use $30 Billion of the surplus for October. Thus, we can count on about $236 Billion in spendable cash for October.
After paying off our debt interest and Social Security obligations we have $138 Billion to spend on the rest of government. That should be doable. It's a cut of about $50 Billion off expected spending...
So, what is the problem behind this stream of thought. Here it is in a nutshell. The Treasury 'has' to pay us back for the spending they have already expensed from our retirement fund. If they cannot borrow from the FED (75% of our debt is bought by the FED now) to cover the money they borrowed from our retirement funds than a few things happen. The one I am most concerned about is a freeze on IFTs. Thus, even though it is risky, I am thinking of moving another 10% - 20% out of my 'G Fund' and into C/S/I where they cannot make a grab. They will always allow us back into the 'G Fund', but once in we might be residing in the Roach Motel.
Therefore, tomorrow I think I will IFT to:
G: 30% - Stuff in here could be locked. Not likely, but a risk
F: 0% - lots of gubmint debt, but not likely to be frozen
C: 30% - American Private Sector is growing
S: 15% - American Private Sector is growing
I: 25% - Seem to have less correlation with American Gubmint spending
Expected Annual Return (after inflation): 5%
Expected Risk: 7%
Thus, an expected annual return of between -2% through +12%
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