Wednesday, July 27, 2016

Dr. Marc Faber: Gold
To Protect From Govt Debt
& Massive Central Bank Bond Buying
Faber thoughts at a recent CFA Institute gathering .. Faber points out that even during doom there is always something that will boom. Faber says he wouldn't go as far as to suggest people buy property in Aleppo, Syria, now, but you get the idea: Money is made when investors dig through carnage, not when they buy something that's been popular a long time .. Faber advises not to be prejudiced against gold. Although the typical investment pro keeps less than 1% of his or her portfolio in gold, Faber suggests 25%. He sees it as protection from a dangerous combination of tremendous government debt & massive bond-buying by central banks globally trying to fight off recession with near-zero interest rates. Besides gold, Faber is invested in Asian real estate & some stocks & bonds .. Agricultural commodities are also cheap, but not agricultural stocks, he thinks .. Long term, he thinks emerging market stocks will be more valuable than those in the U.S. & Europe because developing countries — especially in Asia — are growing while the U.S. & Europe are stagnant.
LINK HERE to the article

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