"I read Fullermoney even when I'm pressed for time because I need that perspective that I have not found anywhere else. I consider that a universal perspective because I know that you are highly critical of any articles that you choose to share.

"Just to remind you, I'm the grandfather who sent two of my brighter grandchildren to the Chart Seminar, resulting in high value for them and their education.

"In reading your Letter of 20 April, it triggered my imagination of the future trend of events. From my perspective it is important to look ahead, factor in as many variables as possible including the big one, government, and project an image of what the possibilities are. I think most people project the future based on current markets.

"I am invested about 95% in FullerMoney themes with which I have done quite well, even with the '08 washout.

"Looking toward the top of this commodity market and the Fullermoney theme, the question in my mind at this time is, what would I do with the proceeds? In this regard foremost in my mind is the purchasing value of the fiat we would receive for our commodity sales. In other words, what would be the new themes that we would transfer to, always keeping in mind governments and currencies and asset protection.

"In my study of economic history of "panics and crashes" and hyperinflation as in Weimar, it raises a lot of questions about what should an individual's investment defensive measures be?

"I see the world including the US in the latter stages of the paper money (fiat) syndrome that greatly affects the politics of government and consequent aggressive moves in taxation, exchange control, stealth currency depreciation (inflation) and a general government attack upon the assets of high net worth individuals, etc., etc.

"Many thanks for your productive efforts."

David Fuller's view Thank you so much for this thoughtful email which raises questions certain to be of interest to many subscribers.

I remember your two grandchildren very well and please give them my best regards. I hope that I live long enough so that I can eventually follow your example and send my two grandchildren (currently 20 months and 1 month old) to one of Eoin's chart seminars in their young adulthood.

I think it is important to think ahead, with an open and inquiring mind, in terms of possible big themes and megatrends. However given the variable events and uncertainties, we can only identify potential scenarios and no matter how likely they may seem, the timing is unknowable in advance.

With Fullermoney themes, indeed most investments, our next two big challenges are to stay with the bull trend while it remains consistent, and then exit as the top formation characteristics become apparent.

I do not think that mendacious banks will be at the centre of the next crisis, great or small, although veteran subscribers will have observed that financials usually turn ahead of broader stock market indices. The usual culprit - persistently rising interest rates as central banks tighten monetary policy - has ended far more bull markets than any other factor.

Recently, some central banks have moved slowly into the gradually rising foothills of their next interest rate mountain climb, with Asia Pacific countries to the fore. Somewhat disconcertingly, we do not know whether it will be a matter of a few months or years before this takes a serious toll in terms of market performance. Actually, we do not need to know. You may recall the adage: We cannot see beyond our headlights, but we can travel the entire journey that way.

The really important stock market in terms of leash effect is the USA. Today, both financial and broader market indices for the USA and most other important stock markets remain in clearly bullish trends, albeit temporarily overextended in some instances as we have mentioned repeatedly, recently. There is one important exception; China's A-Shares Index which is underperforming and reviewed in the chart section below.

Unless the world is about to unravel in the manner feared by many only a year to eighteen months ago, but clearly did not, Fullermoney themes could remain in broadly secular uptrends for decades. However they would still be punctuated by bear markets and we should expect one or two such washouts in each decade.

Cyclical bear markets can be terrifying, although I do not expect to see the likes of 2008 for a long time, but they are of much shorter duration than bull trends. This is because fear is a stronger emotion than greed. When you next decide to cash up, I would not worry too much about holding money in your domestic currency for a few months. It is also possible for most subscribers to switch currencies, preferably in deposit or treasury rollover accounts, and currency ETFs are increasingly available. Equity bear markets also provide short-selling opportunities.

Once bear markets become obvious to all, they soon become buying opportunities for those who have seen it all before. We may wish to invest or reinvest in current themes and new investment themes will also become apparent from time to time.

Fortunately, Weimar-style hyperinflations mentioned in the email above are very infrequent, although living in an entirely fiat currency world, I assume that we will see more of them. I do not expect a return to a gold standard, as I have written before. Among the main reasons: there is not enough gold available, even if the price was fixed at a level well above the most rabid gold bug forecasts; with a gold standard in today's world the price would be too easily manipulated by rogue states; few governments would accept the fiscal discipline required by a gold standard, not least among democracies.

Meanwhile, gold and other commodities should offer the best hedge during inflationary cycles. Aside from moving to a safer country in anticipation, there is not much that one can do to protect against aggressive moves in taxation cited above and a general attack upon the assets of high net worth individuals. Let's hope and vote so that it does not come to that. The biggest problem I fear is that our children or grandchildren might not understand the art of investment.