Legendary investor Jim Rogers say the coming crash will rival anything he has seen in his lifetime.
Later this year or next …. write it down…”


From Mark Obyrne:

Legendary investor Jim Rogers sat down with Business Insider CEO Henry Blodget on this week’s episode of “The Bottom Line.”

Rogers predicts a market crash “later this year or next …. write it down.” Rogers say the crash will rival anything he has seen in his lifetime.

Jim Rogers holds a gold coin (Digital Journal)

Here is a transcript of the Business Insider video:

Blodget: One of the things I’ve always admired about you as an investor is that you don’t talk about what should be. You figure out what is going to be and then you do that. So what is going to be with respect to the stock market? What’s going to happen?

Rogers: I learned very early in my investing careers: I better not invest in what I want. I better invest in what’s happening in the world. Otherwise I’ll be broke — dead broke. Well, what’s going to happen is it’s going to continue. Some stocks in America are turning into a bubble. The bubble’s gonna come. Then it’s going to collapse, and you should be very worried. But, Henry, this is good for you. Because someone has to report it. So you have job security. You’re a lucky soul.

Blodget: Well, yeah, TV ratings do seem to go up during crashes, but then they completely disappear when everyone is obliterated, so no one is hoping for that. So when is this going to happen?

Rogers: Later this year or next.

Blodget: Later this year or next?

Rogers: Yeah, yeah, yeah. Write it down.

Blodget: And what will trigger it?

Rogers: Well, it’s interesting because these things always start where we’re not looking. In 2007, Iceland went broke. People said, ‘Iceland? Is that a country? They have a market?’ And then Ireland went broke. And then Bear Stearns went broke. And Lehman Brothers went broke. They spiral like that.  Always happens where we’re not looking.

I don’t know. It could be an American pension plan that goes broke, and many of them are broke, as you know. It could be some country we’re not watching. It could be all sorts of things. It could be war — unlikely to be war, but it’s going to be something. When you’re watching Business Insider and you see, “That’s so interesting. I didn’t know that company could go broke.” It goes broke. Send me an email, and then I’ll start watching.

Blodget: And how big a crash could we be looking at?

Rogers: It’s going to be the worst in your lifetime.

Blodget: I’ve had some pretty big ones in my lifetime.

Rogers: It’s going to be the biggest in my lifetime, and I’m older than you. No, it’s going to be serious stuff.

We’ve had financial problems in America — let’s use America — every four to seven years, since the beginning of the republic. Well, it’s been over eight since the last one.

This is the longest or second-longest in recorded history, so it’s coming. And the next time it comes — you know, in 2008, we had a problem because of debt. Henry, the debt now, that debt is nothing compared to what’s happening now.

In 2008, the Chinese had a lot of money saved for a rainy day. It started raining. They started spending the money. Now even the Chinese have debt, and the debt is much higher. The federal reserves, the central bank in America, the balance sheet is up over five times since 2008.

It’s going to be the worst in your lifetime — my lifetime too. Be worried.

Blodget: I am worried.

Rogers: Good. Good.

Blodget: Can anybody rescue us?

Rogers: They will try. What’s going to happen is, they’re going to raise interest rates some more. Then when things start going really bad, people are going to call and say, “You must save me. It’s Western civilization. It’s going to collapse.” And the Fed, who is made up of bureaucrats and politicians, will say, “Well, we better do something.” And they’ll try, but it won’t work. It’ll cause some rallies, but it won’t work this time.

Blodget: And we are in a situation where Western civilization already seems to be possibly collapsing, even with the market going up all the time. Often when you do have a financial calamity, you get huge turmoil in the political system. What happens politically if that happens?

Rogers: Well, that’s why I moved to Asia. My children speak Mandarin because of what’s coming.

You’re going to see governments fail. You’re going to see countries fail, this time around. Iceland failed last time. Other countries fail. You’re going to see more of that.

You’re going to see parties disappear. You’re going to see institutions that have been around for a long time — Lehman Brothers had been around over 150 years — gone. Not even a memory for most people. You’re going to see a lot more of that next around, whether it’s museums or hospitals or universities or financial firms.

Must watch interview can be viewed on “The Bottom Line” 

Conclusion
Jim Rogers continues to buy gold bullion on dips. He resides in Singapore and extols the virtues of the Asian country as a precious metal hub that acts as the gateway to the gold market between East and West. It will come as no surprise that he also advocates storing physical gold in Singapore.

    • Not to worry @Ed_B                 “just in case it implodes before 2018 arrives” 

      If that happens, I can always drag last years one out to make myself look like one of our ever-wrong article writers and hope no one remembers lol.

       

    • dolph,  Ignorance is bliss, isn’t it!  In five years, I’ll be in Asia, like Jim Rogers, living the good life off investment advice from Jim Rogers; you’ll be picking your next meal out of a dumpster.

      How dare you tell tell anyone to die!  You don’t even know Jim Rogers.

      [.]

    • I sold my house in June and am typing this from a rental condo. I downsized and had  some personal matter to complete in January next year and by May 2018 I will be off to Asia to live there. I have 2 properties there I purchased over the last 6 yrs. One condo rental unit and land to build our house.

      I know the quality of life is much better there and the GDP of that country is growing at 6%. All the countries that are involved with OBOR will prosper while North America will continue to decay due to the massive debts. Quality of life has also turned for the worse here in Canada. Jimmy knows what he’s talking about, otherwise he’d be poor like the majority.

       

  1. Hope this crash cometh soon as I’m only about 25% up so far over about thirty months average entry point so far.  I was doing much better in paper before then.

    OK.  Be careful what I wish for…..

  2. Well heck, that’s a relief.

    Later this year or early next year everything is going to go Tango Uniform?  Great news

    I can put off building my underground fortress, another 1,000,000 rounds of 5.56 and that new mini gun on my wish list  Oh, and best not forget to lay in another 10 years of MREs and Spam.

    The thing that I cannot quite fathom though is this.  Since 2009 I’ve heard the same thing.  Later this year or early next.  Or maybe it was by the end of summer.

    Since I am an accomplished master and distinguished Graduate in my studies of how to  controlling the space time continuum, with several degrees received from the  Jamaican branch of Jim Rogers Institute of “What’s not happening Now”, it’s clear that we can shift this coming FUBAR out as far as we want.

    All we have to do is think happy thoughts and bingo, the SHTF in 2018.  Or 2019.

    Funny this about all of this stuff.

    Our long time friend and regular on these boards, Ranger, decided to move beyond this place setting in the vast space time continuum around April 2017

    I fully expect to see him waiting on the other side of THE GREAT RESET CLUSTERBUNGLE, whiskey in hand, smile on his face, saying   ‘Told ya so!”

    Cheers Ranger  You were right.  We lay here in our beds as gurus like Rogers read us bedtime stories.

    I like the one about Little Bo Peep who lost her sheep and tells us its raining.

    All I know is someone’s pissing down my neck

     

     

    • Why do I get this urge to punch Jim Rogers in the mouth?   Why is it I now have a long list of ‘gurus’ for this same action?

      Why do I keep getting these flashes of Bill Murray in Groundhog day?

      Nurse quick my tablets……………………

  3. Well I’m staying long.  Experience has taught me I am approximately right much of the time and sometimes bang on.  When it comes to moving from swings to roundabout in the investment sense a swing loss (pull out before peak) can be compensated for by a  higher roundabout gain so timing is most important in this respect.  Right now PM feels a good place to be.  The safe haven is comfortable and prefferable in the “sleeping at night” sense over the interesting times I might soon be enjoying in most other “markets”.  When “markets” start reverting to markets is when you might start to experience fiat gains in metals.  If you want to get stressed out just wait until you start being presented with the choice of trading some metal for hyperinflating fiat to be held in failing TBTF Banks or hyperinflated stocks or similar bonds with interests rates doing what Jim says gold will do, but hasn’t quite yet….

     

    • OK the point is are you in PMs because you are expecting a gain due to the end of the CB price suppression scheme and the price will at some point rebound to $3K per ounce OR are you in because nothing much else is as safe and the financial system is going to crash or be reset at some point?  That is the key question.

      Timing rigged markets is impossible of course and is subject to geo-political factors and cynical power plays.  Either way the longer you stay in PMs the less safe it is to get out!  Simple really.

    • @silverine

       

      Seems as if you are channeling your inner bard… To be (in PMs) or not to be (in PMs)?  THAT IS THE QUESTION!  😉

      Speaking only for myself, I am in PMs as my financial insurance against the “brilliant” moves of the US Gov and its incestuous central bank, aka The Fed.  These jokers not only tell us that the paper that they print up out of thin air and with a bit of ink slopped on it has “value”.  Not only that, but these same grifters are also in charge of telling us all just how much value these little green slips of paper have.  They can and will change their minds (?) on this at any time that is convenient… for them.  Given all this, keeping 10-20% of one’s wealth in PMs that are located outside the corrupt banking system seems more than prudent.  Others may well disagree and worship at the altar of all paper, all the time… and they are welcome to that if it is their choice… but not this kid.  🙂

       

    •  

      Ed_B
      I note from this and your earlier comments that we have similar perspectives and just a quantitative difference in our respective positions.

      The reason for the difference is largely cultural and due to a deeper entrenchment of socialism in many aspects of British life.  I am not entirely negative about this, just about the downside, but this is a cultural perspective in itself.

      If I were to take a US perspective – and no, I don’t have the cultural experience you have – I would be inclined to increase my PMs/portfolio ratio.  That said I do not of course know what is in or what counts as your portfolio but as a wild guess, and if I were a financial adviser working in your interests and in my ignorance, I would suggest a 25% allocation to PMs.

    • Very bombastically presented but there is virtually no meat in all this fluff.  Mercifully, though, it was short at 3 mins 07 seconds.  :-]

       

    • I’ve long thought that Harry had a dent in his head.  His gold price predictions are awful.  Not that predictions should be viewed with anything but very strong skepticism, of course.  But if gold was to drop to $700 or whatever his latest ridiculous target is, it would be back up the truck time… big-time. 😀

       

  4. I have Heard story’s that Mr Rogers  is a billionaire.  He is probably of those guys that has never sold a single oz of gold he has ever bought.  If he owned 50 million dollars worth of gold coins that would only be 5% of his wealth.  He says we should be worried.  I don’t think he is worried.  He probably has more than 5% of his assets in gold and will probably never sell the first oz of his gold in his lifetime.  He used to say gold is not a buy.  Wait until gold is around 900 dollars per oz he would say.  He said this for years.  SilverDoctors never quoted him when he was talking like that.  Now Mr Rogers is buying gold.  Now his opinión is important.  You will see him on SilverDoctors now!  Go Mr Rogers.  You are relevant now!!!!

    • Jim Rogers is 30% of a billionaire, if the “Jim Rogers net worth” answers on Google are to be believed.  That would be a paltry $300M.  Paltry in terms of the many billionaires who infest Wall Street, that is.  Soros net worth is estimated at $25B.  But even that won’t be enough to buy his way out of Hell.

      Rogers was one of George Soros’s cohorts back in the day at Quantum Fund when they were shorting the British pound and earning themselves a cool billion or so US$ for their “efforts”.  No doubt that there were many other deals of lesser but still impressive value along the way.

      Stanley Druckenmiller ($4.7B net worth) was one of Soro’s proteges.  In spite of that, he also is an astute investor.

       

  5. We have had at least five almost total world wide financial crashes since the seventies which would have left the world in a depression worse than the 1930’s. So far the Oligarchs have managed to prevent them from happening at the expense of the rest of us. IMHO opinion the time will come when they will be unable to stop it. It should have happened, it will happen,we just don’t know when.

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