Tom welcomes Jaime Carrasco of Canaccord Genuity back to the show.

Jaime says, “I’ve been preparing for this storm for a long time, and it’s here. I don’t think we can hide from the global volatility.” In 2008, they bailed out the banks, but now the question is who will bail out the governments. The spread between the pound and the dollar is too wide, and the monetary systems of today are too interconnected. The U.S. is just the best-looking fiat currency. Gold is currently flying against nearly every currency except the dollar.

We’ve seen rates change rapidly in just a month. Mortgages are reaching upwards of seven percent. The debt bubble is colossal, and how do we get out from under it. People are failing to recognize the geopolitical shift that is occurring around us. Countries have debt held in U.S. dollars, and now their interest payments are increasing, and the dollar is becoming more expensive.

Stock markets have grown by a hundred trillion since 2008. This came with growth in debt of two hundred trillions. The only way forward in this environment is with a reset. The rising dollar is hiding the inflation in the United States and when that reverses, inflation will show its true face.

The one asset that has benefitted people the best in periods like we are heading through now is the one asset that is least owned by western investors; gold.

Taxes are only going to increase until those in charge wake up. It’s going to be the hard times that generate the awareness to fix the system.

We will see benefits once we get through this crisis. Values of society will increase and reliance on family structures. The system will eventually correct. At some point, wiser minds should prevail.

There is political risk coming to the United States at the midterm elections. We could see the Republican’s sweep much of the political positions.

There are trillions in dollars, but only billions available in gold. The world’s financial pyramid is balancing on that tiny amount of gold.

Time Stamp References:
0:00 – Introduction
0:35 – The Storm is Here
5:33 – Feds Responsibility
12:19 – Inflation Causes
15:20 – Hedging Carefully
21:56 – Silver Thoughts
24:48 – Risk & Debt Per Capita
28:04 – Taxation Outlook
29:13 – CBDCs & Trust
34:49 – The Truth During War
39:15 – U.S. Mid-Term Elections
42:35 – Gold & Positioning
43:53 – Wrap Up

Talking Points From This Episode

• The economic storm is here and investors should expect high volatility.
  
• Global interconnectedness and the debt-based currency system.
  
• Political risk this fall with the U.S. midterm elections.
  
• Mitigating risk by hedging gold.
  

Guest Links:
Twitter: https://twitter.com/IJCarrasco
LinkedIn: https://www.linkedin.com/in/carrasco1/
Website: https://www.canaccordgenuity.com/

Jaime Carrasco is portfolio manager at Canaccord Genuity Inc. in Toronto. From 2014-2018 he worked as Director of Wealth Management and Associate Portfolio Manager for ScotiaMcLeod. Before this, he worked for Macquarie Group, CIBC Wood Gundy, BMO Nesbitt Burns, Gordon Capital, and Merrill Lynch.

Jaime is a leading Canadian investment professional with 25 years of experience providing wealth management and investment counsel to affluent families, businesses, and institutions. He has garnered a reputation for questioning and challenging the status quo and exploring the most innovative investment strategies.

Jaime, whose mother tongue is Spanish, also speaks Italian and French. He completed a BA in political science and economics at the University of Toronto in 1988. While a student, he worked for CS Yacht, a company that built luxury sailboats, thus spending his summers as a skipper for the Canadian establishment members. Jaime credits this experience and having survived sailing through Hurricane Bob in 1991. This experience taught him lessons that have become a metaphor for his financial investment strategies.

“Like one’s financial wealth, sailing is not about controlling the wind, but rather about adjusting the sails.”