Debt, Bubbles, and Fiscal Risks

Value investor Brian Hirschmann, managing partner of hedge fund Hirschmann Capital, makes his debut on episode 152 of The Julia La Roche Show.

In this episode, Hirschmann argues that we're currently in the most dangerous time in financial history and that three bubbles—stocks, real estate, and global bonds—could all burst.

Hirschmann also makes the case that we'll likely see more persistent inflation in the future, given the massive deficits and debt burden. He argues that the price of gold could soar to $7,000.

For investments, he favors gold miners and exposure to international equities.

Links: https://www.hcapital.llc/

00:00 Introduction and Macro View of the Economy

00:43 Dangerous Time in US Financial History

03:08 Consequences of Crisis Suppression Policy

04:35 US Equity and Real Estate Bubbles

06:27 Government Debt Problem

08:20 Global Government Debt Crisis

09:47 Government Debt Crisis and Private Sector Recession

11:03 Gold's Performance and Market Environment

13:13 Factors Affecting Gold's Valuation

19:36 Fed Policy and Fiscal Dominance

23:39 Impact of Fiscal Dominance on Gold

27:26 Investing in Gold Mining Companies

31:53 Impact of Bubbles Bursting

35:36 Potential Impacts of Recession

40:10 Likelihood of Recession

44:21 Closing Remarks