I remember reading your ‘through the looking glass’ quote at the time and unfortunately it’s proven to be spot on. As a consequence of epic mismanagement by central banks and economically illiterate and/or spineless political leaders we are now living through times where the very fabric of the financial system is frighteningly fragile. Gold is the ultimate anti fragile asset.
Yes I read Tim's book around early 2018 and put a portion (~10%) of my retirement fund into a Trend Fund. Wild drawdowns on a couple of occasions but today that fund has almost doubled in value, most of the gain coming this year so far. My total gold and silver holdings overall are up about 10% at current valuations. However I am down overall about 30% on my mining stocks. If you haven't read "Investing Through the Looking Glass", its still relevant today.
I literally just got back from the shop ... in March a box of tissues was $1, until last week $1.29 and today ...$1.69. And this is at Aldi in Oz. Diesel has now gone up a shit load more so I think inflation is just getting started. We generally lag behind the world and perhaps we will also get records for the highest inflation as well longest lockdowns. We actually took out a relatively small loan earlier in the year on the basis that a little debt might be ok in inflationary times (thinking Weimar Republic) . Whilst interest rates here are going up on debt, they certainly are not going up for savers, unless you want to lock up your cash for 5 years. I am sceptical that the central banks of the world have the cohones to do what they should. If inflation is 8%, then surely interest rates ought to be higher if you truly wanted to extinguish it ? But what would I know - I don’t have the expertise of our august central banker. In some parts of Oz house prices still appear to be rising (the places where I’m looking to buy) which suggests to me that rates have a way to go yet. Apparently in Argentina the wealthy will convert any spare cash into USD and the poorer folk buy bricks !! Capital controls next ?
Are negative bonds an indicator that smart money believes governments are making their citizens less productive over time? Like compounding destruction?
I remember reading your ‘through the looking glass’ quote at the time and unfortunately it’s proven to be spot on. As a consequence of epic mismanagement by central banks and economically illiterate and/or spineless political leaders we are now living through times where the very fabric of the financial system is frighteningly fragile. Gold is the ultimate anti fragile asset.
Yes I read Tim's book around early 2018 and put a portion (~10%) of my retirement fund into a Trend Fund. Wild drawdowns on a couple of occasions but today that fund has almost doubled in value, most of the gain coming this year so far. My total gold and silver holdings overall are up about 10% at current valuations. However I am down overall about 30% on my mining stocks. If you haven't read "Investing Through the Looking Glass", its still relevant today.
I literally just got back from the shop ... in March a box of tissues was $1, until last week $1.29 and today ...$1.69. And this is at Aldi in Oz. Diesel has now gone up a shit load more so I think inflation is just getting started. We generally lag behind the world and perhaps we will also get records for the highest inflation as well longest lockdowns. We actually took out a relatively small loan earlier in the year on the basis that a little debt might be ok in inflationary times (thinking Weimar Republic) . Whilst interest rates here are going up on debt, they certainly are not going up for savers, unless you want to lock up your cash for 5 years. I am sceptical that the central banks of the world have the cohones to do what they should. If inflation is 8%, then surely interest rates ought to be higher if you truly wanted to extinguish it ? But what would I know - I don’t have the expertise of our august central banker. In some parts of Oz house prices still appear to be rising (the places where I’m looking to buy) which suggests to me that rates have a way to go yet. Apparently in Argentina the wealthy will convert any spare cash into USD and the poorer folk buy bricks !! Capital controls next ?
Are negative bonds an indicator that smart money believes governments are making their citizens less productive over time? Like compounding destruction?