Wednesday, September 7, 2016
Jim Rogers: I own a lot U.S. dollars and I’m Short U.S. Stocks
Barron’s Asia: So what’s your big picture view of global markets?
Jim Rogers: People tend to think stock markets are fine because the U.S. averages are okay but the S&P500 is up only because of a few stocks- twice as many stocks on the NYSE are down as those that are up. Amazon ( AMZN ) continues to soar but most things in the world are down. It makes me worried. What seems to be happening now is the U.S. is the only place where you can earn interest or dividends so more and more money is flowing into the U.S. and crowding into a few stocks.
I own a lot U.S. dollars and I’m short U.S. stocks. The dollar continues to be strong and it looks like it’s going to go higher and higher. It’s good for me because I own dollars but it’s causing more distortions in the world. People flee into the dollar to earn returns and to seek a safe haven. It has been a safe haven historically but won’t be in the future because it’s going to get overpriced and might even turn into a bubble depending on how chaotic things get in the rest of the world. Also, the U.S. is the largest debtor nation in history. But given few choices at the moment, people buy into dollars. If it turns into a bubble, I hope I’m smart enough to sell my dollars at that point - in Barron’s
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%.
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