Ben Bernanke is About to Unwind the World's Biggest Leveraged Bet It could "wipe $25 to $30 trillion off global markets" ... and "spin the world into a deflationary, global collapse." -The Financial Times But one hidden investment - that lies on the other side of this bet - could return 319% - even as the stock market comes undone. Dear Reader, Imagine a single bet - 1/6th the size of the entire U.S. economy - a bet that's being wagered by thousands of people in dozens of countries. Creeping through the financial system, it secretly funds assets around the globe: from housing to stocks... from bonds to gold. This bet knows no boundaries. And its backers - from American hedge funds to Japanese housewives... from private equity firms to big investment banks - have piled on in record numbers. They've created a bubble 30 times bigger than the credit crunch that saw the Dow drop 16% in five months - and when it pops, unprepared investors will see their net worth sawed in half. But here's the good news - it's a double-edged sword... A select group of investors will watch their holdings soar by 319% or more, thanks to Ben Bernanke and the Bank of Japan. In a moment, I'll show you exactly why this international secret has been kept hush-hush - and how you can capitalize on it, before the news hits the front page of Business Week or the airwaves of CNBC. But first, let me tell you about the single most disturbing development that's wreaking havoc on the global financial system today. In fact, it's one of the major reasons behind the subprime mortgage meltdown, though few know it. And the worst is yet to come. 'Stoozing' on Steroids It's called "stoozing." You may have heard about it on the 10 o'clock news. For small-timers, it's a simple way to earn a few grand. But in the hands of Wall Street's finest, it's a loaded weapon. Apply for a 0% credit card Borrow $20,000 Invest the money in a CD...or stocks Sell the investment before 0% rate expires Pay back the $20,000 Keep the profit Banks, hedge funds and wealthy individuals have been doing this for YEARS. Only, they don't call on Visa for credit... or limit their bets to 5-figures. No - they make far bigger bets... leveraging 7-figure stakes into billion dollar bankrolls. You can probably guess what comes next... Do they put it under their pillows... or stash it in the back-yard? No! That money has to be put to work. So they invest it in stocks...bonds...real estate...gold - anything that might go up in value. All that money creates an artificial "wealth effect." As portfolios and home equity increase - everyone holding these assets feels richer. But it's a hollow sort of wealth. It may take years to build - but it can vanish overnight. Not surprisingly, this massive, hidden source of easy credit has played a significant role in every recent major market bubble - and resulting crash. The 34.9% bear market of 1974 1987's "Black Monday" The Long Term Capital Management hedge fund disaster of 1998 And the plummeting real estate market of 2007-2008 In terms of money, it's the Amazon River of liquidity. But now, its fiercely guarded source is about to dry up and send markets reeling! The Biggest Pool of "Free Money" You Never Heard Of Let's spin the globe together - a full 180 degrees. Our finger lands squarely on an island in the Pacific Ocean. This far-off land is the site of the world's largest "money factory." I call it the private money factory of the rich and famous - because it is just that! The wealthiest individuals in the world go there to secure loans that you or I would kill for. This mysterious source of cheap loans is The Bank of Japan. They move money so fast, it's a wonder it doesn't catch fire! Allow me to explain... The Bank of Japan has kept their interest rates far below 1% for years. It's practically FREE money! So hungry hedge funds and greedy bankers have swamped Tokyo. They borrow millions... even billions of dollars worth of Japanese yen - at 0% to 0.5% - then plow that massive wave of money into anything that moves: stocks, euros, bonds, real estate... Anything that might throw off a higher yield than 1% is fair game. The carry trade problem will loom very large in the coming financial collapse. The US stock market is 45% overvalued...the total loss of [US] wealth will likely be at least US$10 trillion. -Tim Lee Pi Economics And as they chase higher yields, they force prices up - WAY up to unreasonable heights. In that regard, they've been a major force behind the stock and property bubbles of the last 34 years. Anyone who owns these "bubble assets" rides along with them to massive gains. But when the speculative frenzy goes too far - everyone feels the pain, as asset prices come tumbling down. This little shell game has a name - it's called a carry trade. It's like "stoozing" on steroids - with huge potential rewards but equally massive risk. This might be news to you - but it ain't new to the top dogs on Wall Street. It's made some in their ranks very rich, indeed. The 0% Solution: How Japan Became the World's "Secret Banker" In 1989, Japan's Nikkei was the most valuable stock market in the world. But then, the bubble burst. Prices of real estate and equities collapsed - and continued to fall for years. By September 2002, the Nikkei had dropped more than 75% off its 1989 high of 39,916. The government's knee-jerk reaction was to stimulate growth. So the Bank of Japan dropped interest rates to 0% and sold the yen short - hoping to rev up exports and fight deflation. Ironically, this free-money policy didn't boost Japan's economy much - but it sure helped stoke the fires of growth in the USA and Europe. Western bankers and hedge funds figured out they could borrow money at 0% and invest it elsewhere at 5%-10%, and a brand new bubble was born: the yen carry trade. This hidden bubble has grown by 1,071% - propping up markets and inflating assets from New York to Barcelona...from London to Sydney. And now, all that money - trillions of dollars - is getting homesick. It's all about to flood back to its source. And the bubbles it helped to inflate are going to pop... one by one. But there's no reason you have to get caught in the aftermath. While global markets head south, you can play the one market that's been called "the ultimate asset class" - a crisis-proof market, where you'll always find a bull. In fact, one specific investment in this exclusive asset class is about to enjoy its biggest bull market run ever. And I'll show you how to get in on it. You're about to discover a little-known, $3.1 trillion market - a private oasis - where the world's wealthiest have profited for decades. The World's Richest Market That Wall Street Won't Tell You About Have you ever felt like Wall Street's elite don't play by the same rules? Every month, they amass more and more wealth - no matter which way the market goes. How can it be? My name is Jack Crooks. I'm the President and Chief Trading Officer of Black Swan Capital. And back when I was just getting started, I struggled with that question. Fresh out of college, I landed a finance job at a Fortune 500 company. It was a whole new world...filled with prestige and powerful connections - a free education of sorts. I learned what makes the market tick - and how Wall Street's finest come out ahead, year after year. You see, big banks and major players on the Street have a secret weapon: direct lines into every major corporate boardroom. They know how most "games" are going to end before the players even take the field. Now, I'm not saying the market is 100% rigged. But it sure as heck isn't a level playing field. To paraphrase George Orwell, some investors are a lot more equal than others. What do they do with all that cash... and those 10 million dollar bonuses? Sure, some of it goes back into stocks, bonds, hedge funds - the usual stuff. And, of course, a good wad of it flows to Mercedes... Armani... and Cunard Cruise Lines... But a whole mess of it makes a beeline for an even larger market. One that exceeds EVERY stock market...combined! Yet not 1 in 10 investors has heard of it... I learned their secret by studying international economics - how money flows around the globe. What I discovered was fascinating... a level playing field. The type of market where those who do their homework can actually win. At first it seemed too good to be true - but as you're about to find out, it's real - and only a few mouse clicks away. The Hidden Money Factory of the Rich and Famous How could a market - 40-times bigger than the New York Stock Exchange - be "hidden" from the general public? Simple... it was roped off. Only millionaires, hedge funds, and bankers were allowed inside. Over the past 34 years, these elite traders built a wealth-making machine. And today, it's the envy of the world. It trades 24 hours a day... with zero commissions and zero fees. Spreads are razor thin... far less than most discount stockbroker commissions... and the minimum account isn't $1 million or $100,000 or even $10,000! You can start with as little as $1,000... They call it the Currency Spot Market. If you've never heard of it, you're not alone. Yet it's the most simple, powerful market in the world. Here's how it works: Currencies trade in pairs. So a bet on one - is a bet against another. If you like the Japanese yen versus the U.S. dollar, and the yen rises 6.2%, that appreciation is all yours - a 6.2% return on your liquid cash without owning a stock or bond. But there are ways you can do even better... much better! Savvy traders - like major banks and hedge funds - typically use conservative leverage of 10-to-1 on a trade like this. That means they'll use $1 of their own money and borrow $9. So they control a total of $10. In this case, it means the chance for 62% yields! How? Well, if you "borrow" dollars and buy ten times as many yen, and the yen appreciates just 6.2%, that's a profit of 62%. It's like beating the super-rich at their own game. And you've learned about this "game" at just the right time... When market conditions last lined up this way, the yen appreciated 25% in less than 2 months... and it wasn't done yet. Less than three months, later, it continued its climb for a gain of 31.9%. Carry Trade Unwind Sparked 319% Gains in 1998 That's a hair under 32% gains - and a triple-digit, 319% return, based on conservative leverage! Rapid-Fire Gains from the World's Recession Currency Take a look at the chart below and you'll see why I call the Japanese yen a "recession currency." When the DOW Goes Down, the YEN Goes Up You see, whenever the Dow takes a hit, the Yen rallies. Few investors know this: but the yen has been an almost fail-proof hedge against sputtering stock markets. This isn't some random coincidence. To a very large degree, Japan is the "black market" of credit that funds the Dow. For years, Wall Street has gained from Japan's bedridden economy. Cheap yen loans have been funneled around the globe. Assets have been bid up to unthinkable heights. But now, Japan - and the yen - are gathering strength. And those once-cheap yen loans are adjusting upwards, like an army of ARM mortgages. They're becoming more expensive by the day. So the titans of the market have no choice - they MUST sell off assets and repay these loans... or risk bankruptcy. This cycle feeds on itself: As yen loans are repaid, the value of the yen rises - pushing remaining debtors' payback costs even higher. And as more funds sell off investments to repay their ballooning yen-denominated loans - a massive deflationary effect hits assets across the world. Nearly everything that was inflated by a cheap and abundantly available yen... from stocks to town houses... is now deflated by a rising yen. Look out the window... It's happening right now! This isn't something new. In fact... in the last 21 years, three major market crashes were coupled with huge rises in the yen's value. Take a quick look below: Back in 1987, the year of "Black Monday"... When Markets Went Haywire in 1998... And most recently, in the heart of the 2007-2008 Credit Crunch... As you can see, the yen is not just a safe-haven - it's a huge profit source during times of uncertainty. Exchange Traded Funds like CurrencyShares Japanese Yen do pretty well in times like this. But the truth is, there's a better way to play the yen - a way that fully takes advantage of the massive unwinding carry trade bet. And it makes 18% gains seem like chicken feed. Each of these recent examples, in fact, were opportunities for you to make 200%, 280%, 340% and 180%... plus many other triple-digit trading opportunities along the way. You won't hear about this strategy in The Wall Street Journal... or on CNBC. The talking heads simply don't know what's at risk or what to do about it. But when market panic hits - and most investors get that 'deer in the headlights' look - YOUR wealth could be securely tethered to the one asset class that stays afloat. Triple Digit Gains on Wall Street's Pain Last year, Erika Nolan asked me to take over The Sovereign Society's prestigious Money Trader service. There were big shoes to fill. After all, this is one of the most successful currency research services ever run. And I am to keep it that way. Over the last few months, we've enjoyed a 72% winning average. That works out to one winner per week! The Money Trader helps individuals see gains in the spot forex market. This is where you can control foreign currencies for a small fraction of the amount of the contract -- yet claim all the profits for yourself. And you can do it online, 24/7, without paying commissions and often with tighter spreads than you'll find on the New York Stock Exchange. No matter what's happening on Wall Street, we rack up gains. Even if the S&P 500...the Dow...and real estate are in a free-fall - we can post returns like these: 221% on the Rising Euro In December, The Money Trader sent out a BUY alert... In less than 24 hours, we closed out the trade for a total return of 221%. 213% Gains... Easy as "Kiwi" The New Zealand dollar - affectionately known as the "kiwi" - took off like a helicopter... straight up! Money Trader members scored a four-bagger, with returns of 213%! 114% on the U.S. Dollar... Just last month, our Currency Indicators lit up like a Christmas tree and said it was time to buy the U.S. dollar. We grabbed a fat 35% return - and we let the second half of our play ride. Our remaining investment continued to churn out money - a 79% windfall, for a total of 114% gains. I could show you dozens of examples - but I'm sure you notice the pattern. No matter what the stock market is doing, there's always a bull market in currencies. That's why I love this market. We do our homework - and we've been rewarded. Our overall winning percentage is 72%! But here's the thing... If triple digit gains were the best we could do - I'd be fine with that. But the truth is, one of the greatest currency moves of ALL TIME is underway - and it could reward forward-thinking investors with the windfall of a lifetime. Some people are going to get very rich... obscenely wealthy - at Wall Street's expense. But there's not much time left... This Massive Trend is about to Reverse This isn't the first time Wall Street put your way of life at risk. "LTCM began borrowing yen at 0.5 percent and buying two-year notes in the cash and derivatives markets... long before most others. When the yen moved briefly against the dollar... it wiped out the yen carry trade's mark-to-market profits for many players." -Business Week Just 10 years ago, we narrowly escaped another Japanese yen debt crisis. Back in 1998, Long Term Capital Management (a then-little known hedge fund) made huge bets using the cheap yen. In fact, they had as much as $25 billion riding on one yen-funded trade. When bond markets became volatile, the yen soared - and they lost 60% of their capital in just 31 days. LTCM's team boasted two Nobel Prize winners, acclaimed Ivy League scholars - and the best bond arbitrage team Wall Street had ever seen. But in the end, all their credentials counted for nothing. They were left holding massive bets - so huge they couldn't possibly be honored. And the tentacles of these bets threatened to tear down the entire stock market. At the last minute, the Federal Reserve swooped in - and convinced the major banks to bail them out. The price tag? $3.5 billion. Since 1998, the world has become even more "financialized." Whether you like it or not, YOU have a major stake in Citibank, Goldman Sachs and every major hedge fund. Wall Street and the Federal Reserve are making this bet for you. And when it goes bad, every major bank put together will not be able to bail us out. In a moment I'll tell you the best way to hedge your exposure - and line up potential gains of 319% or more - even as bonds, stocks and real estate suffer through the greatest deflationary collapse the world has ever seen. Get Ready for the Great Unwind! 1998 was a rough year: Russian bonds defaulted... LTCM blew up... the Dow dropped 18%... and global markets were almost brought to their knees. But the stakes are even higher this year... In 1998... $140 billion was tied up in the carry trade. In 2008... At least $1.5 trillion is involved. In 1998... 1 major hedge fund - LTCM - blew up. In 2008... Over 1,000 hedge funds are making these risky bets... If just 5% of them go belly up, that would be 50-times worse than the LTCM disaster. In 1998... Small, Asian economies collapsed. In 2008... The world's largest economy - the USA - is on the verge of collapse. You might have survived the Nasdaq crash and real estate bust. But the carry trade bubble is deceptively worse. More hedge funds will blow up [in 2008] than ever before. -Michael Hennessy Morgan Creek Capital Mgmt Even if you never touched a brokerage account - chances are good that this insidious market force could wreak havoc on your life. Today, the force that nearly undid the financial system has grown by a factor of ten! And a once solid financial market is already curled into the fetal position. Bernanke's Swan Song Just like "The Maestro," Bernanke waves his baton and shouts encouragement. But the orchestra won't play his tune. Every instrument of credit seems to be broken. And only two options remain: Raise interest rates: Save the dollar... kill the stock market and kick millions of Americans onto the streets. Lower interest rates to 1.75%... even 1% or less: Kill the dollar... save the stock market... keep home owners above water AND... Unwind the Carry Trade! As the lender of last resort - the Fed has chosen the lesser evil, option #2. Lower rates are headed our way... as soon as June 24th. It's true... As Ben hacks away at the Federal Funds Rate, the US dollar will take a beating. BUT, no amount of cutting will save the stock market OR keep homeowners off the streets. The Fed is running out of juice - and soon, it will be impossible to delay the day of reckoning. Bernanke is deeply troubled. It's written on his face - the look of an exhausted messenger who bears a horrible secret. As the carry trade unwinds, America's biggest source of EZ credit will run dry. Stock prices will plunge... real estate will topple and the yen will SOAR. Newspapers will print sad stories of delayed retirement and crippling inflation. Subprime witch-hunts will sweep the land. But no one will address the source of the problem! Meanwhile, across the pond, European housing prices will continue to falter. And a once adamant central banker, Jean-Claude Trichet will cry uncle and cut interest rates... crippling the euro, another popular target of the carry trade. From Canada to the UK - rates will continue to fall - as desperate central bankers print money to avoid a total system collapse. But the final blow - the coup de grace - will strike like a demon in the night - when emerging markets fall apart. As the former middle class cuts spending back to bare essentials - markets from China to Russia will face their own crises. And the decade-long credit orgy that's spun off fantastic gains - will reverse course and speed back to its Asian source. A quick look at the graph below tells the story. One country was behind the bubble and bust of 1974... the boom and doom of 1987... and the real estate rumble of the early 2000s: Japan. With an economy half the size of the USA - they managed to pump out more money than the Federal Reserve - even during Greenspan's tenure! Look, there's only one way for this to end... badly. The American Dream is about to suffer a brutal correction. Millions of families simply will not recover. Once the mayhem starts, a primitive human emotion will take over - and remove all hope for a quick fix. The Great Unwind Begins Fear spreads faster than greed. When fear jumps from collective thought to panicked action, NO ONE can get out of the way. Not the acclaimed geniuses of Wall Street... Not the legions of baby boomers that carefully cradle their nest eggs... Not you... Not me. Once a massive market move begins, it's too late to react. That's why I'm writing you this letter. Because there's still a precious window of time. Much like "mass hysteria," the unwinding of the Carry Trade is a self-fulfilling prophecy. As traders rush to abandon failing investments and pay back their yen loans, the value of the yen is forced UP. And every tick upwards unleashes a wave of stock market pain - as investors mob the exits and sell - anything at any price - to repay their increasingly expensive loans. This kind of market unwind can happen in the blink of the eye. That's why it's so critical that you... Prepare for the Greatest Market Move of All-Time I've written a report called, The Great Unwind: How to Make 319% to 1,000% on the Collapse of the Carry Trade. And in just a moment, I'll tell you how you can get your own FREE copy. In this just-released report, you'll learn: How You Can Play the Rising Yen - With or Without Leverage - to Rack Up Potential Gains of 319%... or more! Two other major currencies that will rocket to the moon, thanks to the coming, historic reversal of the carry trade. Two wealth-killing currencies you should completely avoid. The Great Unwind may be the most important document you read this year. I'd like to rush you a copy, FREE of charge. The sooner it's in your hands - the better. Because as investors panic and rush for the exits, you could be among the few calm souls who take refuge in one of the world's last great wealth sanctuaries. The ultimate asset class... where you'll always find a bull market. It's all about freedom. Freedom from the hysteria of the masses Freedom from the stranglehold of the US dollar Freedom to trade 24 hours a day And the freedom of knowing the market will NEVER shut down - even during natural disasters, bank failures or terrorist attacks I Want to Make Sure You Don't Miss Out The Great Unwind is my gift to you - simply for trying out The Money Trader. Based on all the work that goes into this service - and our winning record, we could be charging $5,000 a year - and it would be worth every penny. But thanks to economies of scale, you won't even pay half that price. Our going rate is just $2,100. But I'm more concerned than ever that the carry trade is about to unwind. And I didn't leave my high-flying Wall Street job to hide critical information from those who could use it. So I talked it over with Erika Nolan - our Founding Publisher - and we came up with a very fair offer. We've lowered the price of a one-year subscription all the way down to $1,295. That's a 38% savings - less than $108 a month - for my full market attention, trade triggers and updates. The kind of information that could turn $2,000 into $8,330 and pay for your subscription five times over. I hope you'll agree this is truly an extraordinary value. In fact, members of my marketing team have long been urging me to charge $2,500 or more from now on -- since, even at that price, we believe The Money Trader would be the best value in the world of Currency Spot Market research. But I'd like to go one step further - to let you know I'm serious about your satisfaction. Try it RISK-FREE for 60 Days Reserve your spot today and give The Money Trader a full 60-day test drive. My Promise: Go ahead... sample my research - for a full 2 months. If you're not thrilled with the massive returns and market insight, let me know, and I'll refund every penny. Beyond that, you'll always be covered by our Profit Protection Guarantee. Should you ever wish to cancel - for any reason - we'll credit you for the unused balance of your subscription. But I'm confident you'll never have to make that call. Because in just 120 days, we've tallied up 26 winning trades - more than one per week - and the next few months are looking even better. Another Exclusive, FREE Gift for You! I want to make sure you're happy with The Money Trader. And a big part of that is learning the basics of the currency market. If you sign up right now, you'll pay our lowest price ever but that's not all. I'll rush a link to The Great Unwind for you to download along with ANOTHER popular report, Secrets of the Spot Market. Thousands of copies sold at a retail value of $99 - but you can enjoy this primer, by the Sovereign Society Research Team - FREE of charge. Secrets of the Spot Market will quickly get you up to speed on currency trading. And you won't waste hours squinting at a computer screen... This concise, 43-page primer will unlock the profit potential of the Currency Spot Market in 20 minutes. In plain English, it will show you the way to success - and give you an instant knowledge boost. Inside you'll learn: Why international trade drives the currency markets... and how to use that knowledge for consistent profits. How to use the same currency trading strategies that George Soros used back in 1992 to earn a cool billion dollars in less than a month. How to buy major currencies for a spread of just 3/100th of 1 percent. The #1 mistake committed by amateurs in the Spot Market... and the #1 Success Secret of the Pros. The stockbroker's shame: why the currency market is less volatile than stocks - with half the Nasdaq's volatility and less than 2/3rd the Dow's. Why many currencies provide a far greater yield than stocks, while at the same time providing greater liquidity and the potential for double and triple digit gains. How to know when to use leverage and the right amount of leverage to use on any one trade. Why currencies trade 24 hours a day - and why that means you're not nearly as likely to see the big gaps in the price that frequently occur during stock market opens. Where to hunt down the best yields and quickly find the central bank rates on all major currencies. The three most important questions to ask when choosing an FX dealer. How to practice-trade the currency markets - without risking any money - by trying out no-cost 'dealer demo platforms.' And much, much more! What You'll Get as a New Member When you become an official member of The Money Trader, you'll receive at least one email alert each week, directly from me. No novels here - just the quick details on trade recommendations... what to buy... and when to pull the trigger. At that point, it's up to you to take action. But you won't be on your own. I'll monitor each pick and stay in touch with you... You'll receive email updates as necessary, letting you know exactly when to lock-in gains... add to your position... and even when to sell. In other words, I'll show you the fundamental and technical reasons why I believe each play makes sense and should be a winner. You'll also - in the next few minutes - get your password to our members-only research website, with fresh comments, news and chart analysis. But wait - I'm not done yet... Each quarter, we hold a private, members-only webinar. It's your chance to listen-in on our latest market views and fire off any question that comes to mind. I'm taking all the risk here. All you have to do is sign up - and you'll get: 38% savings - our lowest price EVER... 60 days to try out The Money Trader... Instant access to our members-only website... Instant enrollment, so you'll never miss a play... Unconditional 100% Money-Back Profits & Satisfaction Guarantee... FREE access to our private, quarterly webinars... Two FREE reports - yours to keep, even if you cancel. But most importantly, you'll be right on top of one of the biggest currency moves in history - as the massive yen carry trade bubble unwinds. You'll be in position to rack up gains of 319%... or more! While stock market investors, bondholders and even gold bugs are quaking in their boots, you'll have the certainty of holding one asset that could withstand any bear market. You will not only survive through the volatile months ahead... but you'll thrive. While the greatest banking scandals and debt disasters break out in America - you can be sitting smug - far removed from the evils of Wall Street... racking up huge gains in the Currency Spot Market. But a word of caution: The Federal Reserve is going to meet on Tuesday, June 24th - and the near-term effects could result in some financial fireworks. And you'll save 38% off our regular rate by replying today. To reserve your spot and give The Money Trader a risk-free test drive, click the blue button below. Or call my support staff at 866-584-4096. I look forward to sharing and profiting with you in the fascinating months ahead! Sincerely, Jack Crooks Editor, The Money Trader April 2008 P.S. Time is running out! The carry trade is rapidly approaching a critical tipping point. Ben Bernanke and the Bank of Japan are one move away from triggering the greatest avalanche of money the world has ever seen. Those who employ the strategies mentioned in this report can be on the right side of this bet and line up potential gains of 319% or more.