George Soros Predicts Global Markets Crisis that Echoes 2008

The Global Markets are currently facing acrisis, and there is in need for investors to be very cautious. George Soros revealed during an economic forum in Sri Lanka. George also said that China was struggling to get a new growth model, and its currency devolution was carrying problems to the rest of the globe. It a great challenge to the developing world to return to positive interest rates and that the current environments possess similarities to 2008.
The Stock, Global currency and the commodity markets are all under fire in the first week of the New Year. The sinking yuan adds to the concern about the strength of the Chinese economy as it moves away from the manufacturing and investment towards services and consumption. A total of $2.5 million was removed from the global equities during the year; losses increased in Asia on Thursday as a plunge in the Chinese equities stopped trade for the rest of the day.
George Soros said on Bloomberg Business, “China is known to have an important adjustment problem. It usually amounts to a crisis. There was a serious challenge whenever I looked at the financial markets. It reminded me of the crisis we had in 2008.”
George Soros also warned of a similar 2008 catastrophe. Speaking on a panel in September 2011, George said that the Greece-born European debt crunch was much more severe compared to the 2008 crisis.
George Soros owns a hedge fund company which gained approximately 20% every year on average from 1969 to 2011. It has a net worth of around $27.3 billion. This is according to the Bloomberg Billionaires Index. George started his career in New York City in 1950’s and received lots of positive comments in regard to his investing prowess in 1992 by gaining $1 billion with a bet that the United Kingdom will be pushed to devalue the pound.
Volatility measures are surging this year. The Chicago Board Options Exchange Volatility Index, which is also referred to as the VIX or the fear gauge, is up to 13 %. Nikkei Stock Average Volatility Index, which is also responsible for measuring the protection cost on the Japanese shares, also increased by 43% in 2016.
George Soros is the founder and also chairs the Soros Fund Management and the Open Society Foundations. George was born in Budapest in 1930. He survived the Nazi occupation during the World War II and ran away from the communist-dominated Hungary in 1947 heading to England.Soros graduated from the London School of Economics. He later moved to the US where he accumulated alarge fortune through the international investment fund.

George had been an active philanthropist since 1979 when he started raising funds to help the black students who attended Cape Town University during the apartheid period in South Africa.

Visit Open Society Foundations website to know more about George Soros.

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