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Investment Due Diligence: Is Harbor City Capital Legitimate?

Any major purchase or investment in life requires due diligence. Common sense tells us that before making a major commitment – whether it’s buying a car, investing in real estate, or purchasing stock shares, it’s important to research the product thoroughly so that you know exactly what to expect.

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JP Maroney Featured on SuperbCrew: Read Full Interview Here

JP Maroney is an entrepreneur, investor, and philanthropist with more than 27 years of experience starting, building, buying, and selling companies in publishing, media, advertising, software, ecommerce, textiles, training, real estate, and consulting.

Today, JP Maroney is the Founder and CEO of Harbor City Capital Corp., a global alternative investment group that specializes in buying, building and monetizing digital assets.

Read the full interview here

HCCF-1 Bond Update

A quick heads up…

We’re looking to close the 18% 2-Year High Yield Bond by the end of the month.

That means we only have a few more days to complete your investment.


#1 – Get ALL your questions answered.

It’s important that you:

a) Understand the business model driving these 18% returns
b) Understand how we’ve made this a low risk, high return investment
c) Understand that you can trust our highly experienced team

In other words… you need to LOVE this investment to participate.

#2 – Determine the size of your initial investment.

The minimum is $50k.

But, you need to consider this question: How much do you need to invest in order to “move the needle for you?”

Most investors are coming in around the $100k-$200k range to start.

They’re testing this out for 6-10 months, and then planning to come in with more later.

By then, you’ll have 6-10 monthly payments of 1.5%/mo IN YOUR BANK ACCOUNT.

$100k = $1,500 per month
$250k = $3,750 per month
$500k = $7,500 per month

#3 – Complete and fund your subscription.

CLICK HERE to get the documents.

CLICK HERE if you need to speak to someone first.

Or call our office at 321-608-0605 and ask to speak to Betsy.

Let’s make this happen!

JP Maroney
Founder & CEO
Harbor City Capital

Retirement Planning: Stop Taking Deductions and Start Doing This

It isn’t what you make. It’s what you keep that matters. A penny saved is a government oversight, but the individual who understands the tax code the best keeps the most money.

And your CPA probably isn’t that person. Accountants are not trained to help you figure out which deductions apply to your situation. At the end of the day, you alone are responsible for what the CPA files as a tax return. Your CPA may not be able to save you money, but he can bleed you dry if he testifies against you in an audit. Never… ever… never hire a CPA directly.

Of course, the last thing you want is for the IRS to find you “cooking the books” or working in the gray area of the tax code. No, you don’t have risk being audited to save on taxes. Instead, it’s much easier and more effective to avoid taxable events altogether.

Let’s look at how a Traditional IRA or 401(k) gets taxed. Both of those structures deposit your money tax-free. Then, you are taxed at withdrawal during retirement. For example, if you earn $5,000 per month and you deposit $500 of that into your 401(k), the IRS can only tax you for $4,500 of earned income. The extra $500 goes straight from your employer’s account into your 401(k), tax-free. When you draw from your 401(k) in retirement, you are taxed as if you were still earning an income.

What’s wrong with this scenario?

To start with, we don’t know what tax rates are going to be in 10, 20, or 30 years. They could be less, the same, or more than 2015 tax rates. We don’t know. But if you had to take an educated guess based on an exploding Federal debt, what would you guess? If you guessed that taxes will be more 10-30 years from now, you’re probably right. Someone has to foot that bill, and it doesn’t make sense for Washington to wait to raise tax rates once Baby Boomers are no longer contributing their wealth, which makes up a significant part of income in the U.S. The younger, much smaller next generation of American workers simply doesn’t have the kind of “buying power” that can turn around the debt crisis.

Your Disappearing 401(k) Retirement Fund

The Curious Case Of Your Disappearing 401(k) Retirement Fund…

(And The 5-Word Solution To Make It “Re-appear”)

Disappearing 401k Harbor InstituteThe year was 2008 and for most people, who relied on their 401(k) as a source of their retirement nest egg, it was a terrible year.

Many people lost 30, 50, even 70% of their funds in one short period of time during this historic market crash.

We don’t want you to have to relive the past, of course.

Following the correct blueprint can help you avoid losing any part of your precious nest egg and protect your retirement fund.  Part of any reliable blueprint should also increase the chances of you multiplying the wealth inside your 401(k) fund.

But sometimes, even blueprints can leave critical details out.

How to follow the “perfect blueprint” and STILL lose part of your 401(k) fund?

You don’t want to make the mistake of checking boxes, selecting options, and then turning your 401(k) form in and then leave the rest to chance.

So what do you do?

It’s critical that your 401(k) gets updated at least twice a year to reflect changes in the current market.  But even then you can follow the perfect blueprint, and get all the information about the markets you want.

You’ll even make changes to your fund … only to hemorrhage money anyhow.

How does that happen?

By participating in a wealth system designed to make you poor.

The fact is: your IRA or 401(k) is a financial product. And just like any product in the market – from milk to a Lexus – there’s a price tag. And you may be paying much more than you’d expect – to fund your retirement.

Even worse, that “price tag” can’t be found anywhere on your monthly 401(k) statement.

The good news is we’ve found the person who can help you discover this price tag.

Who is it?  And how can you find this “hidden price tag”?

The 5 secret words to ask your broker, so you can quit paying “the hidden 401k price tag”…

The majority of account holders still don’t know they’re being charged this hidden price tag. And those who do don’t realize how big of an impact it’s making on their retirement.

If Ben Franklin were still around today, he might say that “nothing can be said to be certain, except death, taxes, and the hidden price tag on your retirement.

So what should you do if you don’t know the impact of this “price tag” on your 401(k)?

Here are 5 secret words that will force your plan administrator to spill their guts:

“I want a fee audit.”

This is the ONLY way to find out exactly what you’re paying to your broker. These fees are taken “off the top,” so you won’t find them on your monthly statement.  Now, you can reclaim them.

For more details, and to understand how to get the most out of your 401(k), get a copy of our related report by clicking the link in the box below.

Obviously, having the proper guidance and advice when it comes to protecting your retirement is a large and complex topic.

This article only represents a small sliver of the immense volume of tactics, strategies, and retirement-securing knowledge we offer our Members.

Fire Your Broker and Earn 25% Higher Returns

Do you know how much money your 401(k) is costing you?

If you’re like most Americans, this might seem like an unusual question. Most of us associate investment accounts with making money, not spending it.

The fact is: your IRA or 401(k) is a financial product. And just like any product in the market – from milk to a Lexus – there’s a price tag. And you may be paying much more than you’d expect to fund your retirement.

Financial products are paid in fees. For example, loans charge interest. Even free checking accounts make money on overdraft fees.

Of course, it’s easy to understand your mortgage statement. You owe an amount in principal and another amount in interest. And if you make the minimum payment, you can expect to pay off your loan on a specific date.

It’s not so simple to understand a 401(k) plan. An AARP survey [1] showed that 65% of 401(k) contributors were completely unaware they were paying fees to begin with.

Perhaps one reason is because financial service providers don’t post fee information in the expected places. 401(k) fees come “off the top,” which means they aren’t documented in your monthly statement.

You’ll have to dig a little bit deeper if you want to find out what is really stunting the growth of your nest egg. A good place to start is by requesting a “fee audit” from your company’s 401(k) plan administrator.

Buyer beware: If you’ve ever felt like your 401(k) should be making more than it actually is, that’s a red-flag that you’re paying too much in fees.

Here’s what you need to watch out for…

3 fees that can shred your 401(k) returns

Below are the three most common fees that brokers charge. These are only the basic fees, but some plans charge “advertising & marketing fees” as well as others. As you’ll see, some fees are necessary. Others exist for the sole purpose of making the financial service industry more money while draining your retirement.

Fee #1: Administrative Fees

Every company has overhead expenses such as office management, book keeping, and customer service. And mutual funds are no exception.

These fees generally range from .2% to .4% annually. [2]

Administrative fees are unavoidable because without capital an investment fund can’t keep operating. And since most brokers don’t invest in their own funds (more on that below), they aren’t making money off their own investments.

Even the lowest fee funds will assess some administrative costs. Though, you’ll want to make sure you’re not paying more than you have to.

So far, no real harm. Fund managers and their employees have to make a living too, right?

As it turns out, administrative fees aren’t the only way funds cover payroll. And it’s the next type that really starts killing your returns…

Fee #2: Asset Management Fees

In active professionally managed funds, investment researchers and broker-dealers make some of their money through asset management fees. Many brokers also receive commissions from companies whose stock they recommend to clients (more on that below…)

Asset Management Fees generally range from .5% to 1% annually. [2]

That sounds like a small amount. How much of a difference could half a percent really make?

Let’s take the median Administration Fee (.3%) and add the median Asset Management Fee (.75%) and add them together. That’s 1.05%. Now let’s compare returns over thirty years with and without the asset management fees.

Let’s say, for argument’s sake, that you and your employer are contributing $7,500 of your paycheck to retirement yearly.

With an average annual fund return of 7% and an initial investment of $50,000…

With Asset Management Fees, you’d earn:

Yr 1 – $50,000                       Yr 5 – $111,503         Yr 10 – $193,613       Yr 15 – $303,237

Yr 20 – $449,592                   Yr 25- $644,987        Yr 30 – $905,853  

Now look at the SAME portfolio without Asset Management Fees:

Yr 1 – $50,000                       Yr 5 – $114,896         Yr 10 – $204,646      Yr 15 – $328,771

Yr 20 – $500,436                   Yr 25 – $737,849       Yr 30 – $1,066,193

Do the math: that’s $160,340 in extra fees.

Now, you may be thinking: “OK, but don’t I need a professionally managed portfolio to get the best rates of return?” It’s a good question, because high enough returns could outweigh the cost of fees.

But the surprising answer is “NO.” For reasons you’ll soon understand, actively managed portfolios almost NEVER consistently beat the market with a large enough margin to justify the fees. That’s almost always true, even when your employer is chipping in with a matching contribution.

But Wall Street can’t make money by encouraging you to put your money into safe investments with modest, consistent returns.

No one makes much money on index funds, where rates of return are based on the average growth of an entire market (like the S&P 500 companies). There’s no risky betting involved there. Either the average of the S&P companies grows from last quarter, or it doesn’t. And since the larger market almost always grows over time, putting your money in an index fund is a relatively safe move. And the fees are low, which means an affordable investment for you.

But most brokers would have you think otherwise…

Fee #3: Trading Fees

Here’s how the investment slaughter house goes in for the kill.

Trading fees are charged each time your broker buys and sells the securities (e.g. stocks and bonds) in your fund. Actual fee amounts vary from broker to broker. All told, it’s not unusual for fees to exceed 1.6%

How does your broker know when and which stocks to buy and sell? Well, that depends on who you ask.

Brokers are quick to make the argument that experience and knowledge of the markets puts them at an advantage to earn you the highest possible returns.

But that explanation doesn’t exactly hold water.

While it’s true that individual investors are less likely to beat the market than professional traders, professional traders are less likely to beat non-managed funds.

According to the S&P Indices Verses Active (SPIVA) scorecard, non-managed funds outperform actively managed funds most of the time. [3] That means that a professional investor has little chance of beating the market during any given year, much less year after year.

And there’s something else your broker doesn’t want you to know. Client fees aren’t the only way to get paid as a broker-dealer. Another way is to earn commissions from the publically traded companies they recommend.

Just as drug companies solicit medical doctors to proscribe their medications, publically traded companies are competing for your mutual fund dollars. And your broker is forced into a situation where he (or she) cannot represent your best interests.

Unlike a financial advisor who has a legal fiduciary duty to act in your best interests, most broker-dealers are salespeople who profit from selling stocks that pay the highest commissions.

So, Exactly How Much Can Your Broker Take?

Let’s run our 30-year experiment again, this time comparing an actively managed fund with Asset Management and Trading Fees versus a low-cost index fund.

Actively managed fund with 1.6% fees:

Yr 1 – $50,000                       Yr 5 – $109,069         Yr 10 – $185,906      Yr 15 – $285,852

Yr 20 – $415,861                   Yr 25 – $584,973       Yr 30 – $804,950

Passive index fund with .3% fees:

Yr 1 – $50,000                       Yr 5 – $114,896         Yr 10 – $204,646      Yr 15 – $328,771

Yr 20 – $500,436                   Yr 25 – $737,849       Yr 30 – $1,066,193

For a whopping total of: $261,243 in fees, or 25% lost returns!




How to Build a Recession-Proof Financial Fortress

Tom Daniels was an average middle-class American in the 90s. He worked for a Fortune 100 computer company that offered a traditional pension program.

He knew that a pension alone wasn’t going to help him reach his retirement goals. So when the company announced a new 401(k) program, Tom enrolled.

For several years, his 401(k) grew faster than expected. Tom was putting in the maximum 15% of his paycheck, the company was matching the first 5% in contributions, and high investment returns were starting to make retirement look possible.

Then, the dot-com crash changed everything. Tom lost 33% of his 401(k) virtually overnight.

The company responded by hiring new management and a new trustee for the 401(k) program. Now there was a broader menu of investment options with names like “growth fund” and “balanced fund.” These funds didn’t seem match individual investor plans, such as those offered by big name mutual funds.

Finally, with a cracked nest egg and more questions than answers, Tom turned to a financial advisor who understood what the plan was and new of an unpublicized “back door” that allowed participants to invest in mutual funds available to individual investors.  He put together a diversified and growth oriented portfolio. Almost immediately, the 401(k) started earning higher returns, eventually making up half of his previous losses.

Then another unexpected blow. During 2006-2009, Tom lost another 50% of his retirement. Shortly thereafter, Tom was permanently laid-off and decided it was time to get out of the roller-coaster

For the next 2 years, he looked for a way to build a solid nest egg completely apart from the stock market. He knew he had options, and also knew that he didn’t understand those options.

Then, Tom discovered an obscure 46-year-old law created by the IRS  that helped him earn worry-free consistent returns while creating 100% tax-free income for life.

Today, Tom has full confidence in his financial future. Do you?

WARNING: Proceed with caution. Taking control of your retirement requires understanding the financial system as well as the wealthiest 1% of Americans.

Being willing to take charge of your financial destiny is only the first step. If you don’t know how to navigate the latest investment laws and IRS tax codes, you’ll get slapped with penalties and interest.

3 Things Ultra-Wealthy People Do Differently

Think like the rich… earn like the rich. Here are 3 things the ultra-affluent do differently, which anyone can use to flex their money making muscle.

Ultra-Wealth Factor #1: They accept 100% responsibility for their financial results.

Wealth comes to those who are committed to success while others just sit around wishing and hoping for things to be different.

Most individuals are taking no initiative, pretending like they can wait out the crisis like a bad storm – or worse, waiting for the government to bail them out.

Well, it’s not going to happen. You alone have the power to change your financial fate.

The best time to take control was 20 years ago, but the next best time is TODAY. Seize the day.

Ultra-Wealth Factor #2: They surround themselves with others who share their goals or have already achieved them.

If you surround yourself with individuals who are willing to take shots in the dark instead of seeking expert help, you are much more likely to follow the crowd and chase the latest “hot” funds instead of playing a long game designed for YOUR goals.

Bad advice and the lack of good advice both have the same result. You should never follow the advice of someone who isn’t qualified and/or doesn’t represent your best interests. And you definitely cannot afford to plan for retirement alone.

Seek out expert help with a legal fiduciary duty to you and your money.

Ultra-Wealth Factor #3: They are committed to life-long learning

What you lack in knowledge, you pay for.

Think about it this way: if you don’t know how to seal the leak in your plumbing, you need to pay a plumber to do it. If you don’t know how to build a deck, you need a contractor. And if you don’t know how to protect and prosper your finances, you need advisers with your best interests on the line.

One True Secret About Wealth That You Can’t Buy

The One True Secret About Wealth That You Can’t Buy With Money…

You would think that “how to make more money” would be the main topic 100% of the time on a financial expertise website like The Harbor Institute.

Making money is one focus, but as you’ll soon see, it’s not really what you’re looking for when trying to build wealth.

Money is certainly important, and also makes things a lot easier when you have more of it.  But when it comes to wealth and the mindset behind money, there is something that most people overlook as they press themselves harder and harder to make more of it.

It’s the one true secret about wealth that most people are truly looking for, but sometimes never get to find because they trap themselves in an endless loop trying to make more and more money.

This endless loop can leave you feeling empty if you don’t think about the one true wealth secret being revealed in this article.

The Secret Behind Living “The Wealthy Life”…

Wealth Mindset Harbor InstituteWhen you sit down, relax, and think about what it means to be wealthy, what images come to mind?

Having a nice house?  Driving your favorite car in the countryside?  Can you hear the “clinking” sound of wine glasses at a social gathering with a bunch of your friends, living the high-life?

What about taking a trip to a remote island, complete with VIP service and excellent food, which also means you’re treated like royalty?  You might choose to stay there a couple of weeks because, you know, money isn’t an issue when you’re wealthy.

What you imagine when you think about being wealthy is up to you.  But is that truly what wealth, and a wealthy life, provides you?

What do you feel when you think of these images of being wealthy?  It’s in that feeling that lays the secret.

Do you feel relaxed?  Secure?  Safe?

The secret to a wealthy life lies in the feelings you are trying to attain, not how much money you have.  It’s whatever the “feeling of being wealthy” means for you.

Here’s how to start using this secret to your advantage…

Think about the following to start on your journey to feeling wealthy:

  • Is it “having a lot of money” or knowing that you spend way less than you earn that provides a measure of security for you? What other feelings could that bring?
  • When you buy stuff, do you factor in the cost of long-term ownership? Would you feel better knowing you’re buying the highest quality of life, or by trying to obtain some false status by owning the most expensive stuff available?
  • Buy the house, rent the house, and only enough house … not too much house (which will leave you with a bunch of unused rooms and more to clean). You’ll feel wealthy knowing you’re making the right decisions.
  • Think about your travel, and even though you might have tons of money, travel frugally. You would be surprised what the wealthy spend on a trip to Paris (because likely, they aren’t going to Paris).
  • Finally, always think about what you’re buying, it’s not the stuff … it’s the feeling, the experience, the lifestyle (but not status).

Obviously, having the proper money mindset when it comes to your wealth is a large and complex topic.  This article only represents a small sliver of the immense volume of tactics, strategies, and retirement-securing knowledge we offer our Members.

Less Taxes, More Small Business Revenue

How To Start Using The Elite “Fort Knox” Strategy To Pay Less Taxes, Keep More Small Business Revenue, And Protect Your Business and Personal Assets…

Whether you’re just starting a small business, or you’ve been in business for 10 years, you need to pay close attention to this article.

Because the information about to be revealed will protect your business from lawsuits, crazy people, and even the I.R.S. itself.

It will allow you to keep more revenue instead of shoveling it out on your annual tax bill or paying a team of lawyers to defend you in court.

The best part is this Elite “Fort Knox” Strategy is simple to implement.  You can even start today if you would like.

This strategy involves two options, and each option has three “layers.”

Choose Your Own Adventure Harbor InstituteNow it’s time to choose your own adventure…

The two strategies to choose from, each part of this Elite “Fort Knox” Strategy, have their own use.

One is called the “C Vault Strategy,” and one is called the “S Vault Strategy.”

Since you either are starting a small business, or have currently operated one for some time, you can probably recognize that each strategy seems similar to a form of corporate structure.  A “C” corporation … or a “S” corporation.

And you would be right, and most business owners or executives stop there (forming one of the two corporation types).

That’s where we take this to the next level and turn this into a strategy that is as secure as Fort Knox…

The layers of protection you need for each Vault Strategy to work, and secure your business assets like Fort Knox…

The “C Vault Strategy” Layers of Protection:  This strategy starts by providing superior liability protection for businesses and owners by separating the risks associated with the core operating business, from the risks associated with the individual owner(s) of the business, in two distinct ways…

To begin, this strategy adds the same level of asset protection inherent to basic incorporation in its first layer, while providing an additional layer for “ultimate” protection.

This strategy also provides a forward-thinking estate planning solution designed to facilitate the distribution of the business’ assets to designated beneficiaries selected by the business owner(s) upon the death of the business owner(s).  This, while also providing business continuity in the event you or another co-owner is incapacitated.

The “S Vault Strategy” Layers of Protection:

Like Vault “C” this strategy also provides liability protection for businesses and owners by separating the risks associated with the core operating business, from the risks associated with the individual owner(s) of the business.

It provides this level of asset security by using the “corporate veil”.  This strategy also provides an additional level of privacy for the business owner(s), which will be explained in detail on our newest special report – The “Fort Knox” Protection Strategy.

This strategy uses the same methodology for continual operation of the business in the case of incapacitate of the business owner(s).

But obviously, having the proper guidance and advice when it comes to protecting your small business is a large and complex topic for just one article.

This article only represents a small sliver of the immense volume of tactics, strategies, and business asset-securing knowledge we offer to our Members.

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