Saturday, February 27, 2016
Jim Rogers: Buy High Quality Bonds if any
James West: Okay. Let’s talk a bit about two weeks ago, Andrew Roberts, the head of credit for Royal Bank of Scotland, he came out and said ‘sell everything and only buy high-quality bonds’. Now do you think buying government bonds is a good idea in the current environment, or do you think he’s just talking his book since they sell bonds and obviously make a substantial amount of revenue from that?
Jim Rogers: Well, if you’re going to buy bonds, you should certainly buy high quality, which is mainly government, but you should only buy short term bonds. I wouldn’t buy 30 year bonds with his money or your money for that matter, because unless you’re a good trader, we’re going to see much, much, much higher interest rates eventually. We’ll probably see lower interest rates first, which will benefit the high quality bonds. But from his point of view, or from many people’s point, there’s not much else you can buy. You can put your money in currencies or cash, but you got to have the right cash or you’ll lose a lot; a lot of smart Japanese put all of their money in yen three or four years ago, and now it’s down 50 percent in that period of time. So you have to be careful what to buy, and certainly government bonds have been, and they continue to be, one of the things that you could buy. But buy the right government and the right currency as well, if you buy government bonds.
Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendary investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%.
Labels:Jim Rogers High Quality Bonds
Who is Jim Rogers ?
James "Jim" Rogers was born in Oct. 19, 1942 and grew up in Demopolis, Alabama .Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendry investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%. They ran what is considered to be one of the first truly global macro hedge funds. . In 1964 he got his first job on Wall Street at Dominick & Dominick in the summer between high school and Yale University, that's how he got his first experience with stocks and bonds. He immediately fell in love with the job. After Oxford, he returned to the U.S. and joined the army in 1970 he returned to Wall Street, working again with Dominick & Dominick. That same year he joined Arnold S. Bleichroeder, where he met George Soros, and together founded the Quantum Fund. This has opened a new era of global macrotrading and inspired numerous imitations and spin-offs. In the book "Money Masters of Our Time," Jim Rogers writes about that time "the most important thing in my life was work. I did not do anything until I had completed my work." To emphasize this professional ethic , it is good to remember that he did not made any holiday for ten years. In 1980, Jim Rogers has decided to "retire" at 37 years. Since then he has spent much of his time traveling and supporting the causes of philanthropic and taking on many high profile roles in the media. However, he continues to be an active investor and media commentator