As the result shows in reality from 2014 after the article was written, the equities market did not collapse. bond yields remain low, USD was sought after and gold was no where near 2011 levels. These are the realities. Why did it happened? I don't know, I am an investor not privy to Buffett/Soros type of quality research.
When will the market collapse? I don't know, ask Martis, Rickards or Schiff. Especially rickards as he has written many books and follow up ones on this subject matter and yet the markets are refuting his sentiment/research. As I said he will get it right again one day. Nothing goes up nor drop forever.
If I have to spend my time worrying with one eye on market crash then I am better off just sitting on sidelines waiting for it to happen. When it happens what would you be doing? Rewind to post Sept 2008, would you be waiting for the dust to settle before entering the markets? How does one define "dust settle"? Because according to your sentiment almost 10 years have past but there isn't a market collapse along the way. Meanwhile gold rallied and those who did not take their profits would be waiting XX years to heal that paper loss. So much for safe haven. Or perhaps move into properties? Syd/Mel properties are constantly in the news about bubbles etc. So after 10 years of waiting for GFC to come home to roost one would still be prepping for Armageddon?
When the next one comes along, you just go back to the start of this post and the cycle repeats. I rather read Paul Krugman's economic explanation even though the details are beyond me when he explains that QE is non hyper inflationary. That is the side effect reflected in reality not the Rickards/Schiff BS but it was persuasive though.
It is all about position management, don't take too much risk exposure and definitely no margin loans! Diversify portfolio and have a lot of cash just in case. What else does one do in these situation?
