Rollover

 

“There are two kinds of people who lose money: those who know nothing and those who know everything.” - Henry Kaufman

“Money, capital, has a life of its own. It’s a force of nature like gravity, like the oceans, it flows where it wants to flow. This whole thing with the Arabs and gold is inevitable, we’re just going wit the tide. The only question is weather you wanna let it go like an unguided missile and raise hell or whether you wanna keep it in the hands of responsible people, keep it channeled, keep it quiet.” - Hume Cronyn as Maxwell Emery: Rollover [1981]

“When everyone else is going left, go right.” - Sam Zell

Major producing earth extraction company management understand assets are ephemeral.

Recent actions from the Bank of England for the U.K Gilts in pensions illuminated disintermediation in the longer duration bond market.

Debt obligations do not go away unless defaulted or perniciously thru monetization.

Billionaires like Sam Zell have politely noted there is little ‘collateral’ in the system.

- The race to real assets with no counter-party risk may have started.

Non investment grade bonds traded OTC as a sub class investment.