↑ Return to Our Beliefs

Print this Page

Solar Flares

Solar FlaresSolar Flares
Click Image to Enlarge

You have arrived on this page for a reason:  you may be looking beyond the normal boundaries of science, wanting for answers of a bigger picture connection.  We ask that you view these two image slides with an open mind. New scientific evidence, complete with incredible discoveries, is allowing AFC to be on the cusp, to deliver an ‘edge’ to you, our potential client. That is why our motto is “Crossing New Thresholds”.

As solar activity increases into the middle of 2013, it’s going to bring more weather extremes, since the planetary electromagnetics will be bouncing from one end of the pole to the other.  Munich Reinsurance already has published a report expressing record damage from weather / planetary disasters in 2011.  Essentially, we believe that global weather risk is going to rise to a Bullish high.

Now, for a second, let’s stand back and realize that the whole definition of an “edge” is going beyond the normal, seeing more than Mainstream, predicting the risk of something unusual / different.  Our normal mindset is that we need something to be in Mainstream news in order to be validated, right?  But what if Mainstream news is not reporting it?  If Mainstream doesn’t show it, did it still happen?  Let’s get out of the box.

“2012 and 2013 are likely to be volatile years for potentially many reasons, but not withstanding, this will be a solar cycle max. As electrical and magnetic energy from the sun hits Earth, have you ever thought about what could happen during a larger solar flare, or even how it might affect your market portfolio? Sounds far-fetched, but think again.

With the new buzzword being solar flare, correlation studies are piquing the attention of those with savoir faire, willing to listen to get a new ‘edge’ about when there might be key moments to buy or sell commodities, currencies or other markets.  Of course, NASA knows a lot about solar flares – press releases have even warned about the potential danger to satellite communication outages, wide-spread power cuts and more. Our research shows that during unusual solar activity, whether it is an M-class solar flare, a coronal mass ejection (CME) or a Hyder magnetic rope, there is a very high R-Squared correlation factor to planetary and market events of a sudden, volatile or chaotic nature of at least a few times in magnitude and frequency compared to when solar activity is more normalized.  As markets have become increasingly chaotic and as many past indices have become more uncorrelated, a new class of chic traders is becoming more multidimensional and looking beyond out-of-the-box thinking to the solar system for potential answers.

So what is this so-called ‘bigger picture’?”

** NOTE:  the italicized quoted print above is part of a full article by AFC that is originally published within the prestigious Euromoney Risk Management Handbook 2012.  Please visit www.euromoney-yearbooks.com for more information.

Permanent link to this article: http://afcw.com/afc-open-book/how-we-do-it/our-beliefs/solar-flares/