UPDATE on March 17, 2025
The Trump administration has surprised market participants with swift and disruptive actions that aim to re-shore industries back to the USA and remodel global trade policies at a pace never seen before.
While we expected that a top in equities would occur sometime in 2025-2026 as a result of a supply shock from Asia, it has become much more probable now that the unequivocal refocus from a financial economy to the real economy, with a strong emphasis on a redistribution of wealth from financial holders to the working class through new industrial and trade policies, is now putting extreme pressure on the holders of financial assets, in particular equities.
The regime change is happening now. We believe buy & hold investors must rethink their approach to investing in a long only 60/40 portfolio.
First published in 2024
This is our roadmap based on market conditions we foresee to happen in years and decades to come. It's a long term forecast based on what we know today. This roadmap will obviously evolve as we digest new economic, financial and political developments. Of course, we also work with much shorter roadmaps to profit from short term price swings in both directions. We expect that this extremely important paradigm shift in global macro could have a dramatic impact on your wealth, unless you maneuver correctly through this regime change with a global macro, risk-adjusted investment approach such as the one provided by the 8X Macro Edge.
We believe that a multi-asset, multi-jurisdiction and multi-strategy diversification enhanced with directional bets and market timing skills will make a tremendous difference in growing and preserving your wealth.
The Transition Period from a market economy to a political economy, from a global regime to a financial repression, re-industrialization and re-shoring regime is being set in motion under the Trump administration.
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