According to Bloomberg, Dalio and co-CIO Bob Prince have said they’re becoming “more concerned that the damaging effects of President Donald Trump’s populist policies may overwhelm the benefits of his pro-business agenda.”
“We are now in a period of time when how this balance tilts will be more important to the economy, markets, and our well-beings than normally dominant drivers such as central bank policies,” Dalio wrote.
The duo said the current investment environment is marked by “exceptional uncertainty [and that] there is also significant risk that [Trump’s] populist policies could hurt the world economy (and worse).”
No matter what you think about this assessment, Trump IS proving he intends to disrupt the world economy.
Heck, we’ve seen the man move markets with a simple Tweet.
And this is just the beginning of a transformation that will stretch across the globe.
In the Middle East, President Trump said he’s going to bomb ISIS into oblivion, and let Exxon-Mobile go in and take their oil — a recipe for a major spike in oil prices.
Not to mention his plan to withdraw Obama’s Iran deal, which would immediately eliminate over 1 million barrels of oil from the world market.
Sending prices even higher!
In his mission for fair trade deals with China, President Trump has already pulled out of the Trans-Pacific Partnership.
He wants to levy a 45% tariff on Chinese imports, and has said, ”We can’t continue to allow China to rape our country.”
A trade war with China could send over $620 million of U.S. Investments into chaos, cost the U.S. 4 million jobs, and sink some of the biggest stocks like Apple, Boeing, and Starbucks!
In Europe, Trump’s historic upset over Hillary Clinton is inspiring countries like France, Germany, the Netherlands, and more to vote out the establishment parties.
Nationalism is beginning to reign and the EU is dangerously close to falling apart.
A collapse of the EU would destroy the Euro and set off a foreign banking crisis like we’ve never seen before — one that is even bigger than the so-called “Lehman moment” back in 2008.
Investors could watch every dollar they have lose 10% overnight
And then have the rest of their portfolio wiped out as this contagious banking crisis spreads across the world.
The point is that you need to be prepared.