Jamie Dimon

RobinHood Conference: Dimon Warns China To Prepare For Recession

We are posting Robinhood Conference notes so please stay tuned for much much much more. Below is the talk between Jamie Dimon and Lee Ainslie on politics, bubbles, fed policy, China and much more. Note this is not a verbatim transcript and is for information purposes only. We will be creating a PDF version of this document for our premium members.

Also see more Q3/Q4 hedge fund conferences and letters

FIRESIDE CHAT WITH JAMIE DIMON
Speaker: Jamie Dimon (CEO of JPM) with Lee Ainslie (Founder of Maverick Capital)
A collaborative relationship between the banks and Federal Reserve would be appreciated. All Federal reserve candidates being floated would do a better job.
Tightening will continue although it may not be a benign environment.
Jamie expects the rates to be more volatile. While the rates are expected to go up, it will happen slowly and not as fast as people anticipate.
The most significant risks for the next bubble according to Jamie are:
If you believe the next few years will be good, then low spreads are justified. However, if you think that there will be a recession, then they are not justified.
Quantitative Easing
Trade in general. There will be more trading in China instead of using the North America Free Trade Agreement.
Imbalances in the area have built ways people are not prepared for.
There is always a risk when it comes to geopolitics.
There is faith that China can sustain growth even if they might face banking problems.
Jamie believes that China can sustain growth.
They can recapitalize their banks and overcome the debt problem they have.
Shortly, the country will go through a recession eventually even though he has no idea when that will be. What we do know is that China is not prepared for one.
Jamie’s advice for China is:
They should make their financial system more transparent.
They should merge the State-Owned Enterprises and change the Business Operating Division. You cannot have massive, insufficient SOEs and support local businesses and expect to have an efficient economy.

SORRY!

This content is exclusively for paying members. Access all of our content on including years of timeless investment news and in depth analysis for only a few dollars a month by signing up here while also supporting quality content and journalism, or learn more about our premium content here

If you are subscribed and having an account error please clear cache and then cookies if that does not work email support@valuewalk.com and we will get back to you as quick as humanly possible


Saved Articles
X
TextTExtLInkTextTExtLInk

Are you a smart investor? Join tens of thousands of sophisticated investor reading our authoritative free newsletter

* indicates required


Congrats! Are you a smart person?

We have an exclusive targeted for being a sophisticated and loyal reader.

Sign up today and get three months free

Use coupon code vip19 or click on the button below

Limited time offer only ENDS 10/31/2019 or after next 25 20 subscribers take advantage whichever comes first – please do not share this discount with others

 

0