Marc Faber, editor of the Gloom, Boom, and Doom Report, stated in a web cast on Yahoo! Finance he thought Equities, Commodities, and Real Estate are the only options for new capital even though they are not particularly attractive.
Faber thinks these assets, although only fairly priced at best, will increase in nominal value as inflation takes hold. He feels leaving capital in cash, money markets, or even worse, US treasuries, is not an option over the longer term. The US dollar will eventually be worth only a small fraction of what it is now over the next ten years. Because of this owning equities and hard assets will help hedge against hyper inflation, although on an inflation adjusted basis Faber sees little upside for any asset class.
in Benzinga.com
Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world. Dr. Doom also trades currencies and commodity futures like Gold and Oil.
