We disagree with hedge-fund king pin George Soros for all sorts of reasons, most notably his over-the-top funding of one leftist political cause after another. But there is at least one area where we see eye-to-eye with Soros: The U.S. stock market is headed for collapse, and soon.
His bet on a collapsing US stocks market has surpassed the 2 billion dollar mark. He uses a tactic called shorting which means that he places bets against the market doing well. His activity in shorting has been on the rise for a year now.
George appears to be very confident about going short in the markets. Records released by SEC indicate that in the second quarter the put options for Soros Fund Management increased to 11.3 million. The ranking compared other firms trading in the S&P 500 exchange-traded funds category. This single move indicated a 14 percent rise in short positions from 3 to 17 percent.
The dollar position soared from 299 million to 2.2 billion dollars for his portfolio. This represented his single biggest move.
It is evident that the famous and savvy money manager has observed something in the stock market that other investors cannot see. The trend in the stock-market appears to be mirror of how we look at things, too, here at Real Money USA. The economy is showing slow growth, an encroaching government, rising geopolitical conflicts and a federal budget deficit that is spiraling out of control. The solution to these challenges appears not to concern any political party in Washington, D. C.
Anticipating A Global Meltdown
Soros has studied the market and seen the signs of another financial crisis. Its magnitude is scary since it will be more devastating than what happened in 2008. We share a similar opinion.
Interestingly, Soros at the same time has been doing something else with his resources: investing more in gold as a hedge against the disaster that he apparently sees coming. He nearly doubled his ownership in a U.S. gold-mining company's exchange-traded fund and initiated new stakes in other gold producers, Reuters reported.
God's Money Is Gold
You do not have to enjoy the insights of a George Soros to see the approaching financial storm. This makes it prudent to protect your hard earned wealth as best you can. Your money is a trifle amount compared to the billions George has to spare from his deep pockets. It is, therefore, paramount to invest in solid long term plans like gold and silver coins and other such valuable and solid financial instruments.
His bet on a collapsing US stocks market has surpassed the 2 billion dollar mark. He uses a tactic called shorting which means that he places bets against the market doing well. His activity in shorting has been on the rise for a year now.
George appears to be very confident about going short in the markets. Records released by SEC indicate that in the second quarter the put options for Soros Fund Management increased to 11.3 million. The ranking compared other firms trading in the S&P 500 exchange-traded funds category. This single move indicated a 14 percent rise in short positions from 3 to 17 percent.
The dollar position soared from 299 million to 2.2 billion dollars for his portfolio. This represented his single biggest move.
It is evident that the famous and savvy money manager has observed something in the stock market that other investors cannot see. The trend in the stock-market appears to be mirror of how we look at things, too, here at Real Money USA. The economy is showing slow growth, an encroaching government, rising geopolitical conflicts and a federal budget deficit that is spiraling out of control. The solution to these challenges appears not to concern any political party in Washington, D. C.
Anticipating A Global Meltdown
Soros has studied the market and seen the signs of another financial crisis. Its magnitude is scary since it will be more devastating than what happened in 2008. We share a similar opinion.
Interestingly, Soros at the same time has been doing something else with his resources: investing more in gold as a hedge against the disaster that he apparently sees coming. He nearly doubled his ownership in a U.S. gold-mining company's exchange-traded fund and initiated new stakes in other gold producers, Reuters reported.
God's Money Is Gold
You do not have to enjoy the insights of a George Soros to see the approaching financial storm. This makes it prudent to protect your hard earned wealth as best you can. Your money is a trifle amount compared to the billions George has to spare from his deep pockets. It is, therefore, paramount to invest in solid long term plans like gold and silver coins and other such valuable and solid financial instruments.
About the Author:
Learn more about precious metal investing. Stop by Anne Trimble's site where you can find out all about gold and silver and what it can do for you.
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