CIO Of $175Bn Fund Warns "A Liquidity Crisis Is All But Inevitable" | WHAT REALLY HAPPENED

CIO Of $175Bn Fund Warns "A Liquidity Crisis Is All But Inevitable"

Authored by Christoph Gisiger via,

Tad Rivelle, Chief Investment Officer of the Californian bond house TCW, doubts that the Central Banks can prevent the impending economic downturn. He spots increasing signs of stress in the credit sector and recommends holding safe assets to be prepared for turmoil in the financial markets.

Mr. Rivelle, who rarely gives interviews, views the prospects on the financial markets with skepticism. In his opinion, it’s clear that the business cycle is in its final stages. He warns that the power of unconventional monetary policy is largely exhausted and nervousness in the credit sector is growing.

Against this background, he advises a defensive calibration of the portfolio and a careful approach when it comes to security selection – especially in the investment grade segment where many companies are more leveraged than their rating indicates.

Webmaster's Commentary: 

Folks, I know I sound like a chipped CD on this, but please; don't have any more money in your bank account to pay your bills; look at getting some "melt" silver (silver which is not sold for numismatic value); see if you can get some gold, also, as a stabilizer for your investing.

We are headed toward some very ugly and uncertain times, and please don't get do not find yourself short.