The Meb Faber Show - Better Investing Lyn Alden – The Macro Landscape & Bull Case for Real Assets | #434
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Aug 8, 2022 AI Snips
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Early Investing to Full-Time Shift
- Lyn Alden started investing in high school, buying equities like Adobe early on.
- Despite pursuing engineering, her curiosity about investing persisted and transitioned into her full-time focus around 2016.
1940s Analogy for Today
- The 2010s mirror the 1930s with deleveraging and zero interest rates leading to stagnation and popular discontent.
- The 1940s and 2020s share fiscal dominance, inflation with low rates, and massive government expenditures due to debt burdens.
Financial Repression Explained
- High debt levels lead to financial repression where central banks keep interest rates below inflation to manage debt.
- This causes real returns to be negative, benefiting debt holders with manageable debts and punishing savers.