Why the Uber-Rich Are Preparing to Abandon America 

Sometimes it helps to watch what the billionaire class is doing… 

To be clear, I don’t mean we need to pay attention to their grotesque, self-promotional projects. Jeff Bezos and Richard Branson can go to space every other day, for all I care. (The only problem I have with their vanity space missions is that they keep coming back.) 

Rather, I want to know what they and their friends are doing in private…the things they don’t like to talk about publicly.  

Recently, we got a glimpse into that world. 

Multiple investment migration firms revealed to Insider that inquiries into so-called Golden Passport programs had soared by 300% or more over the past several years.  

It seems the billionaire class are busy putting their Plan B in place. 

I’ve long written about second passports and the various ways ordinary people can obtain one, particularly in Europe, which Americans tend to want to call home. But for those with pockets so deep they need an elevator to reach the bottom, buying a passport is far easier and way more convenient. 

That’s what Golden Passports are—citizenship through investment. 

More than a dozen countries, mostly in Europe and the Caribbean, offer these programs. Basically, you invest a (considerable) sum of money in a particular country through starting a business, buying some real estate, or simply handing over the cash to the government. Then, boom, you immediately qualify to obtain citizenship and a passport in that country. 

How deep you gotta dig into those pockets varies from country to country. But for passports from European Union member states, it ranges from $300,000 for the Mediterranean island of Malta to $9.5 million for Austria, the priciest option. 

Of course, the big question is why the sudden surge in interest in Golden Passports? Why are the 1% getting ready to abandon America? 

The answers seem fairly obvious: 

COVID, and the travel restrictions that resulted from it, is clearly one cause. Americans were basically locked into place. A second passport would have allowed them to leave.  

And there’s another factor…one that’s gaining in prominence: the growing social discord that’s clearly evident and clearly weighing on the minds of Americans at pretty much all levels of society. 

It’s not a stretch to note that the U.S. is an increasingly polarized society…a country at war with itself culturally. This was brought into sharp relief last week by the Supreme Court’s reversal of Roe v. Wade, and the varied reactions to it, but it’s also reflected in the Jan. 6 hearings. 

I see both of those playing out in my Twitter feed. There’s a lot of anger in America on both sides of the aisle. I’m not sure a shared loved of turkey in November and fireworks on the Fourth of July is strong enough glue to hold the country together at this point. 

Some prominent thinkers and military analysts are even warning about a new American civil war. 

All sounds crazy, I know. Like, this is not something that happens to America. This happens to banana republics and war-torn kleptocracies. 

Yet, the risk of social upheaval in the U.S. is real. It’s clear that America’s aging institutions are struggling to respond to the crises facing the country—from spiraling governmental debt and rising inflation, to the pandemic and climate disasters, to income inequality spawned by lopsided taxation and a lobbying industry that owns the political class. 

And, so, the uber-rich are going shopping for the best Golden Passport options as their failsafe. 

Of course, not all of us have $300,000 to spend on a Golden Passport (much less $9.5 million). So, what are we supposed to do? 

Well, here’s two thoughts: 

First, investigate your second passport options. As many as 40% of Americans qualify for an EU passport through pathways such as family ancestry. Have an Irish grandfather? An Irish passport could be yours. Your great-grandfather grew up from Sicily? You might be eligible for an Italian passport. But be aware: Getting these passports is often a years-long process. Best to start now. 

Second, buy physical gold and store it in a secure place. 

If/when upheaval writes itself into the American storyline, paper assets like stocks will plummet as foreign investors rush to pull their capital from the country. Even the dollar won’t be safe. Its value would plummet relative to foreign currencies, making the cost of all the imports we buy vastly more expensive. 

Gold, on the other hand, is the ultimate safe-haven asset. For millennia, people and governments have turned to gold in times of turmoil.  

So, buy gold and then ignore what happens to the price today or tomorrow or six months from now. Gold at this point in American history is purely lifestyle insurance. (I’d own a little bitcoin too, since that is also globally traded, easily transportable, and is emerging as digital gold.) 

But a bit of advice: Don’t buy physical gold from your local dealer. The markups are almost always scandalous. Instead, check online dealers like Apmex.com or BostonBullion.com. I’ve personally used both and found them excellent. (I have no ties to either company and get no financial benefit for mentioning them to you.) 

Now, to be clear, this is all about creating a Plan B, just in case. 

The uber-rich… most probably aren’t planning to pick up and relocate to Malta tomorrow. They’re simply ensuring they have options.  

Likewise, I’m by no means predicting that America is heading for a civil crisis. The U.S. has the wealth and talent to address the problems it faces, reduce the rancor on its streets, and revitalize its institutions. 

But as much as I love my homeland (and I do love dear old Uncle Sam, despite his many foibles), we must also accept that the opposite is also possible…that the discord we’re seeing will grow more, not less, extreme. 

And that makes prudent planning a savvy move.