I Think There's A Lot Of Merit

The Securitisation Of Mortgages Added A New Dimension Of Systemic Risk. Financial Engineers Claimed They Were Reducing Risks Through Geographic Diversification: In Fact They Were Increasing Them By Creating An Agency Problem. The Agents Were More Interested In Maximising Fee Income Than In Protecting The Interests Of Bondholders. That Is The Verity That Was Ignored By Regulators And Market Participants Alike.

This Crisis Has The Potential To Be A Lot Worse Than Lehman Brothers.

The Worse A Situation Becomes The Less It Takes To Turn It Around, The Bigger The Upside.

Every Bubble Consists Of A Trend That Can Be Observed In The Real World And A Misconception Relating To That Trend. The Two Elements Interact With Each Other In A Reflexive Manner.

I Called Gold The Ultimate Bubble, Which Means It May Go Higher. But It’s Certainly Not Safe And It’s Not Going To Last Forever.