George Soros has lost money. A lot of money, even for someone like him. Close to a billion dollars, and it cost him the victory of Donald Trump. Like so many in the industry, the hedge Fund Manager had expected a Chaos in the financial markets and falling prices are set, should win in the unpredictable real estate Tycoon, the race to the White house.
Instead, the stockbrokers were celebrating Trump and bought almost euphoric stock, because they hope by Trump on lower taxes and a strong economic program. The Dow Jones rose to nearly ten percent.
But Soros remains, in spite of the billions of loss in his opinion. At the world economic forum in Davos, he made an especially grim prognosis. Trump is a conman and would-be dictator.
sooner Rather than later would Wake up the players and a Crash in the markets trigger. Because Trump will fail with its policy. "The uncertainty is at its peak and uncertainty is the enemy of investment," said Soros in Davos. “The stockbrokers Donald Trump celebrate, but at some point reality will gain the upper hand."
The world was exposed to a number of risks
The 86-year despite its recent losses to the smartest investors in the world. As a child born in Hungary, he had to flee from the Nazi, and has virtually made out of nothing an asset of 25 billion dollars. He is now one of the 30. richest people in the world.
Now he sees the world a whole series of risks. So Soros is confident that the President’s Trump, a trade war with China on the trail. And a trade war could quickly become a military war.
Also on Europe, he sees hard times coming to the continent after the Brexit vote by the British already in a tensile test, and these destructive forces have been reinforced by the choice of Trumps. "If Europe disintegrates, the consequences will be dramatic. The Old world is moving in the wrong direction."
The European Union is simply too complicated and unmanageable for the people. "The people are alienated and anti-European parties are gaining influence."
Not the first sinister Soros-scenario
It’s not the first Time that Soros designs in Davos with gloomy scenarios. In the past year, he expected a Crash in China. In fact, it was a closeout, however, the government in Beijing intervened and managed to turn the trend. Today, he sees China, strengthened by the election of Donald Trump. Sent by the Communist party would make new alliances and trade pacts. "China is at a crossroads," says Soros, "to a more open or more closed society". Particularly optimistic he sounds, even today.
But Soros is not in this year, the only Super-Investor who is pessimistic. Ray Dalio of Bridgewater, has made a confession sensation. "I’m afraid of populism." Because this phenomenon is very difficult to do. Unlike a classical economic, or monetary crisis no Central banks through interventions could save the world. At the world economic forum, the overall uncertainty is large.
Bill Browder, the founder of the investment company Hermitage Capital, since the age of 21 here: "It is the first Time that absolutely no one knows in which direction it goes." All look, to some extent, into the abyss.