Despite crisis, Jim Rogers is still a China bull
Mon Jan 19, 2009 10:35am GMT
HONG KONG, Jan 19 (Reuters) - The global financial crisis has only strengthened reknowned international investor Jim Rogers' acerbic criticisms about the U.S. economy and his resoundingly optimistic view on China's future.
Rogers, co-founder along George Soros of the Quantum Fund, railed at the Federal Reserve and incoming U.S. Treasury Secretary Timothy Geithner, while also saying the high saving rate and solid fundamentals in China make it a powerful force to be reckoned with.
"This is going to be the new centre of the world, not just the financial but the political world," he said at the Asian Financial Forum in Hong Kong.
Rogers, who is now an independent investor living in Singapore, said he was going to use the U.S. dollar rally in the last six months to get out of all his investments in dollar-denominated assets and keep buying Chinese equities, the Japanese yen and commodities.
He said his bets against U.S. investment banks, the two largest U.S. mortgage providers Fannie Mae (FNM.N: Quote, Profile, Research) and Freddie Mac (FRE.N: Quote, Profile, Research) and the yen kept his portfolio in the positive last year, but the rest of his investments suffered.
He accused U.S. authorities of consciously trying to devalue the U.S. dollar by flooding the market with liquidity -- or in his words, "turning on the printing presses" -- and said anyone chasing the rally in government bonds is making a "terrible mistake."
"The idea that you can fix a period of excess borrowing and excess consumption by more borrowing and more consumption to me is just ludicrous," he said.
Underscoring his convictions, Rogers began his speech by showing pictures of his two young children, both of whom he said have Swiss bank accounts and speak Mandarin.
The Quantum Fund shot to fame after making more than $1 billion betting against the British pound in early 1990s. (Reporting by Kevin Plumberg; Editing by Lincoln Feast)
http://uk.reuters.com/articlePrint?articleId=UKHKG31545820090119
tjhinkh 20/01/2009
"This is going to be the new centre of the world, not just the financial but the political world," he said at the Asian Financial Forum in Hong Kong.
Tuesday, January 20, 2009
Wednesday, January 14, 2009
Jim Rogers: US creditor nations to shun Treasuries
Jim Rogers: US creditor nations to shun Treasuries
Mon Jan 12, 2009 9:34am EST
NEW YORK, Jan 12 (Reuters) - Jim Rogers, a prominent international investor, on Monday predicted that many creditor nations could start shunning U.S. assets, particularly Treasuries, as the economic crisis lingers on.
"If I were the Chinese, I wouldn't buy another single U.S. government bond," said Rogers, who was speaking by teleconference in an interview with Reuters. "I can't imagine anybody is going to give the U.S. government money for 30 years at 2.5 percent or even 4 percent or 4.5 percent. It's mind boggling to me."
China in 2008 became the largest holder of U.S. Treasuries, surpassing Japan.
Prices of long-term U.S. Treasury bonds appear dangerously overstretched after a soaring rally, which began soon after the Lehman Brothers bankruptcy.
The yield on the benchmark 10-year Treasury note, which was trading over 5 percent in June 2007, hit a five-decade low of around 2 percent in mid-December. Currently, the yield on the 10-year note is around 2.43 percent.
"All the big creditors are going to be slowly cutting back ...more and more diversification against and away from the U.S. dollar -- and away from long-term bonds," Rogers added. (Reporting by Dan Burns and Jennifer Ablan; Editing by Theodore d'Afflisio)
http://www.reuters.com/article/marketsNews/idUSN1248477420090112
Mon Jan 12, 2009 9:34am EST
NEW YORK, Jan 12 (Reuters) - Jim Rogers, a prominent international investor, on Monday predicted that many creditor nations could start shunning U.S. assets, particularly Treasuries, as the economic crisis lingers on.
"If I were the Chinese, I wouldn't buy another single U.S. government bond," said Rogers, who was speaking by teleconference in an interview with Reuters. "I can't imagine anybody is going to give the U.S. government money for 30 years at 2.5 percent or even 4 percent or 4.5 percent. It's mind boggling to me."
China in 2008 became the largest holder of U.S. Treasuries, surpassing Japan.
Prices of long-term U.S. Treasury bonds appear dangerously overstretched after a soaring rally, which began soon after the Lehman Brothers bankruptcy.
The yield on the benchmark 10-year Treasury note, which was trading over 5 percent in June 2007, hit a five-decade low of around 2 percent in mid-December. Currently, the yield on the 10-year note is around 2.43 percent.
"All the big creditors are going to be slowly cutting back ...more and more diversification against and away from the U.S. dollar -- and away from long-term bonds," Rogers added. (Reporting by Dan Burns and Jennifer Ablan; Editing by Theodore d'Afflisio)
http://www.reuters.com/article/marketsNews/idUSN1248477420090112
Thursday, January 1, 2009
Rogers Says He’s Buying China Shares in Hong Kong, Singapore
Rogers Says He’s Buying China Shares in Hong Kong, Singapore
Dec. 31 (Bloomberg) -- Jim Rogers, chairman of Rogers Holdings, said he’s been buying shares of Chinese companies even as growth in the world’s fourth-largest economy slows.
Rogers started buying Chinese shares in 1988 and is now favoring equities traded in Hong Kong and Singapore that are cheaper than yuan-denominated stock in Shanghai.
China is slowing but “some parts of the Chinese economy will be totally unaffected by what happens in the West,” Rogers said in an interview in Hong Kong. “I started buying in October again. I never sold any Chinese shares.”
http://www.bloomberg.com/apps/news?pid=20601087&sid=ai3In.fKJtSM&refer=home
Dec. 31 (Bloomberg) -- Jim Rogers, chairman of Rogers Holdings, said he’s been buying shares of Chinese companies even as growth in the world’s fourth-largest economy slows.
Rogers started buying Chinese shares in 1988 and is now favoring equities traded in Hong Kong and Singapore that are cheaper than yuan-denominated stock in Shanghai.
China is slowing but “some parts of the Chinese economy will be totally unaffected by what happens in the West,” Rogers said in an interview in Hong Kong. “I started buying in October again. I never sold any Chinese shares.”
http://www.bloomberg.com/apps/news?pid=20601087&sid=ai3In.fKJtSM&refer=home
John Paulson looking to buy distressed debt: report
John Paulson looking to buy distressed debt: report
Wed Dec 31, 2008 5:03am EST
(Reuters) - John Paulson, who runs the $36 billion hedge fund firm Paulson & Co, is looking to buy distressed mortgages and distressed debt, despite being bearish on the overall economy, Bloomberg reported.
Paulson wrote in a 2009 outlook to investors that he is interested in investing in debt restructurings, bankruptcies, strategic mergers and financial recoveries, the agency said.
His largest fund, the $13 billion Paulson Advantage Plus, has risen about 38 percent through Dec 19, the agency said, citing the undated report.
The hedge fund industry is facing its worst year ever with heavy losses prompting large numbers of investors to request their money back. A large number of funds have imposed restrictions on investor redemptions.
In his letter, Paulson criticized his peers and their tendency this year to block or curb clients' attempts to get their money back, the agency said.
"We think it's a mistake for managers to use gates and other tools to limit investor access to their funds," Paulson said.
A spokesman for Paulson could not be immediately reached by Reuters for comment.
Paulson & Co, along with J.C. Flowers & Co and Dune Capital Management, is a prospective member of a consortium to buy the assets of failed mortgage lender IndyMac, a source familiar with the matter told Reuters earlier this week.
http://www.reuters.com/articlePrint?articleId=USTRE4BU1JN20081231
01/01/2009 tjhinkh:
"We think it's a mistake for managers to use gates and other tools to limit investor access to their funds," Paulson said. --- Interesting
Wed Dec 31, 2008 5:03am EST
(Reuters) - John Paulson, who runs the $36 billion hedge fund firm Paulson & Co, is looking to buy distressed mortgages and distressed debt, despite being bearish on the overall economy, Bloomberg reported.
Paulson wrote in a 2009 outlook to investors that he is interested in investing in debt restructurings, bankruptcies, strategic mergers and financial recoveries, the agency said.
His largest fund, the $13 billion Paulson Advantage Plus, has risen about 38 percent through Dec 19, the agency said, citing the undated report.
The hedge fund industry is facing its worst year ever with heavy losses prompting large numbers of investors to request their money back. A large number of funds have imposed restrictions on investor redemptions.
In his letter, Paulson criticized his peers and their tendency this year to block or curb clients' attempts to get their money back, the agency said.
"We think it's a mistake for managers to use gates and other tools to limit investor access to their funds," Paulson said.
A spokesman for Paulson could not be immediately reached by Reuters for comment.
Paulson & Co, along with J.C. Flowers & Co and Dune Capital Management, is a prospective member of a consortium to buy the assets of failed mortgage lender IndyMac, a source familiar with the matter told Reuters earlier this week.
http://www.reuters.com/articlePrint?articleId=USTRE4BU1JN20081231
01/01/2009 tjhinkh:
"We think it's a mistake for managers to use gates and other tools to limit investor access to their funds," Paulson said. --- Interesting
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