(National Sentinel)Â Economy: Legendary co-owner ofÂ Quantum Fund, Jim Rogers, is not very bullish on the market’s immediate future. In fact, he’s downright pessimistic.
As reported byÂ Financial Express, Rogers sees an impending crisis in a market that is way overpriced.
â€œWe could see the worst crash in my entire life pretty soon,” he toldÂ Kitco News.
Rogers founded the Quantum Fund alongside George Soros, who is regarded as one of the most successful investors of all time. From 1970 to 1980, their portfolio returned 4200 percent while the S&P had posted paltry returns of about 47 percent.
â€œWeâ€™ve had economic problems in the US, in North America, every four years since the beginning of the republic, to say that weâ€™re going to have a problem is not unusual,” he said, adding that it would be “bizarre” if the marketsÂ didn’t experience a problem.
TheÂ Financial Express noted further:
Rogers observed that the 2008 financial crisis was caused due to a rise in debt, and since then the debt has gone through the roof. In fact, Alberto Gallo of Algebris Investments, in a recent blog, noted that global debt levels have almost quadrupled, rising 276% in the last decade to $217 trillion. Talking about the timeline, Jim Rogers predicts that the impending crisis could be as early as next year.
…Rogers, sometimes referred to as â€˜Commodities Guruâ€™, believes that gold prices are likely to skyrocket, in view of the impending meltdown. He observed that people have always turned to gold in the face of crisis and this time around itâ€™s not going to be any different.
“Gold is going to be explosive in the next few years,” Rogers said.
Another respected investor, Marc Faber, is also buying gold as a hedge against overheated equity markets in the U.S.
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