Lord Rothschild takes £130m bet against the euro
2012 08 23
By James Quinn | Telegraph.co.uk
Lord Rothschild has taken a near-£130m bet against the euro as fears continue to grow that the single currency will break up.
The member of the banking dynasty has taken the position through RIT Capital Partners, the £1.9bn investment trust of which he is executive chairman.
The fact that the former investment banker, a senior member of the Rothschild family, has taken such a view will be seen as a further negative for the currency.
Lord Rothschild has led RIT since 1988
The latest omen follows news in The Daily Telegraph late last week that the government of Finland is already preparing for the euro’s break-up.
RIT, which Lord Rothschild has led since 1988, had a -7pc net short position in terms of principal currency exposures on the euro at the end of July, up from -3pc at the end of January. Given a net asset value of £1.836bn at the end of July, the position is worth £128m.
Sources close to RIT suggested that the position was not a dogmatic negative view on the euro as a currency, but rather a realistic approach on a currency that remains relatively weak.
It is not the first time Lord Rothschild has used currency positions as a form of hedge. RIT significantly increased its exposure in sterling after the currency’s decline in 2008, but then scaled back on both the sterling and the euro, anticipating the ensuing recessions in both regions.
Some 53pc of RIT’s assets were in US dollars at the end of July, in part a reflection of its deal to buy a 37pc stake in Rockefeller Financial Services at the end of May.
Lord Rothschild is not alone in seeing value in shorting – or selling down – the euro. At a conference organised by business news channel CNBC in July, Mary Callahan Erdoes, head of JPMorgan Asset Management, said “shorting the euro” when asked for her single best investment idea.
In June, George Soros – the billionaire investor best known in the UK for helping to force sterling out of the European Exchange Rate Mechanism in 1992 by betting against the British currency – said that European leaders at that point had a “three-month window” to save the euro.
Read the full article at: telegraph.co.uk
Also tune into Red Ice Radio:
Bill Still - The Money Masters & The Secret of Oz
William Dean A. Garner - World Control, Gold & The Jesuits
Tracy Twyman - Alconomics, Money & Magic
Ellen Brown - The Web of Debt, The Manufactured Financial Crash, Global Tax & The Basel Accords
Joseph P. Farrell - Babylon’s Banksters, Global Financial Blackmail, Geo Warfare & The End Game
Jim Marrs - The Trillion-Dollar Bailout Conspiracy, Underwear Bomber, TSA, Wikileaks & Socialism
Joan Veon - G20, Global Credit Crisis & Public-private Partnership
Soros Unloads All Investments in Major Financial Stocks; Invests Over $130 Million In Gold
Latest News from our Front Page
"Policy of multiculturalism in Europe has failed"
2013 05 22
The UK is experiencing a deficit of Caucasian people in the regions where the majority of the population is made up of immigrants and ethnic minorities. In the last 10 years more than 620 thousand white Brits left the capital of the UK, where Caucasians are now a minority making up only 45% of London’s population.
The policy of multiculturalism in ...
Stockholm braced for further rioting by young immigrants
2013 05 21
Main article from FT.com follows below this comment:
Well, all of this is hardly unexpected, since there now is pretty much annual riots in Sweden. Disgruntled immigrants who are burning cars, schools and other buildings is now turning into the norm in Sweden ...as it seems to be throughout the rest of Europe. Stones are flying and you can smell the ...
Dzhokhar’s boat ‘confession’ the most unbelievable part yet of Boston psyop
2013 05 21
Remember the notes that accompanied the anthrax deliveries right after 9/11? They said things like, “Allah is great!” “Death to Israel,” “Death to America!” and “9-11-01: This is next.”
In other words, THE MUSLIMS DID IT: the same ones who had so handily defeated the world’s greatest military machine on Sept. 11, 2001. And they did it because they hate us ...
The Mystery of the ’Immaculately Conceived’ Baby Anteater
2013 05 21
[...]Staffers at a zoological conservation center in Greenwich, Conn., are very confused — as are the rest of us — because their female giant anteater, Armani, has managed to conceive a baby, apparently without the presence of a male anteater.
It all started in August, writes Lisa Chamoff for Greenwich Time. Armani, an anteater at the LEO Zoological Conservation Center, ...
The US Government Might Be the Biggest Hacker in the World
2013 05 21
Cyber crime is big business in the US. It’s used to spy, steal, harass competition, political opponents, or to stage an attack and blamed it on a foreign enemy.
Is the government in on this crime industry? Yes, and in bigger ways than you can imagine…
This trend is enabled domestically by an institutionally corrupt US legal system and a police state ...
|More News » |