Jim Rogers : Dont pay any attention to S&P and Moodys

Jim Rogers : “It means that you should not bother to pay any attention to the rating agencies. Everything they have done in the past 15 or 20 years has been wrong,”
“I stopped bothering about them long ago. Everybody knows that France is no longer Triple-A, everybody knows that Italy is no longer as highly-rated as it used to be. The market knows all about this. This is not news. I know you have to report something, but this is not news to people in the market.”
“Whether it is European or not is irrelevant, the fact is that you do need somebody competent and somebody who can examine and decide who is solvent and who is not solvent,” he said. “Until a few months ago that they had the US as a Triple-A credit. The US is the largest debt nation in the history of the world. It is absurd that it was Triple A. Europe needs somebody competent who can go in there. It does not matter whether it is Russian, or Australian or American, or European, just so you have somebody competent. And these guys in S&P and Moody’s have had a semi-monopoly for decades. They have gotten corroded and lazy and sloppy and they are no longer competent.”
“The best way to get out of it is to go ahead and to let people go bankrupt, let the people who made mistakes take their losses, the banks who made the bad loans, the people who invested in the bad banks – they should take their losses and start over,”
“It looks as though the EU is about to make some of them take some losses and that will be good. That way we can start over and go forward. The problem is they are not doing enough. They are not taking enough losses. They are hoping that they can get through the next election or two and then everything will be OK. This is not going to solve the problem, it will delay the problem a bit longer, it does not solve the problem,”





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%.