RBS: Sell everything

[ridery99]

Here we go 

http://www.theguardian.com/business/2016/jan/12/sell-everything-ahead-of-stock-market-crash-say-rbs-economists

Investors face a “cataclysmic year” where stock markets could fall by up to 20% and oil could slump to $16 (£11) a barrel, economists at the Royal Bank of Scotland have warned.

In a note to its clients the bank said: “Sell everything except high quality bonds. This is about return of capital, not return on capital. In a crowded hall, exit doors are small.” It said the current situation was reminiscent of 2008, when the collapse of the Lehman Brothers investment bank led to the global financial crisis. This time China could be the crisis point.

[1713962294]

1713962294

[Paashaas]

I'm reading this in Dutch papers too.

Bankers predicting economic doom porn .....

[Jet Cash]

What they don't say is "Don't leave your money in the bank". Now that bail-ins have been made legal, banks are going to be taking depositors funds to cover their reckless lending. The government is no longer prepared to bail them out.

[randy8777]

it's weird that such a large bank advices people to sell everything. i don't mind it because people will look for different things to invest in. bitcoin is the perfect option. if these investors do invest their money into bitcoin, then prepare for a new ath.

[DimensionZ]

it's weird that such a large bank advices people to sell everything. i don't mind it because people will look for different things to invest in. bitcoin is the perfect option. if these investors do invest their money into bitcoin, then prepare for a new ath.

This time around the spike should be in the $2000+ region right? If a lot of scared people invest in bitcoins if there is really a big stocks crash it should reach these prices without breaking a sweat.

[randy8777]

it's weird that such a large bank advices people to sell everything. i don't mind it because people will look for different things to invest in. bitcoin is the perfect option. if these investors do invest their money into bitcoin, then prepare for a new ath.

This time around the spike should be in the $2000+ region right? If a lot of scared people invest in bitcoins if there is really a big stocks crash it should reach these prices without breaking a sweat.

i don't know how high the new ath will be, but imagine what a few extra billions of fiat comming into bitcoin can do with the price.

[LuckyYOU]

What they don't say is "Don't leave your money in the bank". Now that bail-ins have been made legal, banks are going to be taking depositors funds to cover their reckless lending. The government is no longer prepared to bail them out.

This has been happening for years and years.
That's why these debts keeps on getting higher and higher.
Instead of paying off what they own, they just keep increasing that debt

[n2004al]

Here we go  

http://www.theguardian.com/business/2016/jan/12/sell-everything-ahead-of-stock-market-crash-say-rbs-economists

Investors face a “cataclysmic year” where stock markets could fall by up to 20% and oil could slump to $16 (£11) a barrel, economists at the Royal Bank of Scotland have warned.

In a note to its clients the bank said: “Sell everything except high quality bonds. This is about return of capital, not return on capital. In a crowded hall, exit doors are small.” It said the current situation was reminiscent of 2008, when the collapse of the Lehman Brothers investment bank led to the global financial crisis. This time China could be the crisis point.

I don't believe this. If will happen something normally can be a controlled one. If it will be not under control will be put in control. It is at all problem this in a centralized country like China. So whatever be the situation cannot be out of control of the Chinese Authorities. Can be out of control only if this will be wanted by the Chinese Authorities and for sure cannot cause damages or only controlled damages to them. To many times are foreseen problems (little, big or even huge) for China but the results are that today China make "fear" to USA. And in 30 years was increased from a very poor country in the second power of the world. Who foreseen about China must think twice before make public that which want to tell about it.

[Amph]

to me this sound more like sell everything and jump in bitcoin, they are destroying themselves basically

money will not vanish, be prepared...because money will simply move, to the best thing out there, guess what will be for some investors

[Bitcoinbro]

This is why I'm not holding too much in any bank at all
I find it hard to trust any of them.

to me this sound more like sell everything and jump in bitcoin, they are destroying themselves basically

money will not vanish, be prepared will simply move, to the best thing out there, guess what will be for some investors

This too ^
Money won't just vanish over night.

[Hazir]

You heard the news. Time to act, if you have large amount of money stored in stocks or FIAT piled under the bed now it is good time to convert it all into bitcoin.
If crisis hit us, bitcoin price will initially go down a little, but in the long run will be probably one asset unscathed after the crisis.

[~Bitcoin~]

What is the connection between other stock and bitcoin ? I don't think much of the stock traders are in bitcoin trading till now.

[Hazir]

What is the connection between other stock and bitcoin ? I don't think much of the stock traders are in bitcoin trading till now.

There is no direct relation in a way that bitcoin's price is dependent on price of stocks or stock markets. It is more like both bitcoin and stock function on the same level.
Bitcoin and stock are still treated as speculative tool and investment method by people.

[Nomad88]

it's weird that such a large bank advices people to sell everything. i don't mind it because people will look for different things to invest in. bitcoin is the perfect option. if these investors do invest their money into bitcoin, then prepare for a new ath.

It`s really weird, like a suicide attempt by the bank. 

[DuckKeeper]

You need to hold on to your Bitcoins for a bit longer and when the time is right then you need to sell. It all depends on for what price you like to sell them and what makes you happy.
I you do not like the price then you just have to wait longer and longer.

[Altcoinsupporter]

it's weird that such a large bank advices people to sell everything. i don't mind it because people will look for different things to invest in. bitcoin is the perfect option. if these investors do invest their money into bitcoin, then prepare for a new ath.

This time around the spike should be in the $2000+ region right? If a lot of scared people invest in bitcoins if there is really a big stocks crash it should reach these prices without breaking a sweat.

It will be not the best thing that you can do because there are also a lot of people that is waiting for a price increase and that would be nice for them if they can sell it.
But they have now to only wait for a higher value and just sell it on the right moment.

[tampazeus]

it's weird that such a large bank advices people to sell everything. i don't mind it because people will look for different things to invest in. bitcoin is the perfect option. if these investors do invest their money into bitcoin, then prepare for a new ath.

This time around the spike should be in the $2000+ region right? If a lot of scared people invest in bitcoins if there is really a big stocks crash it should reach these prices without breaking a sweat.

It will be not the best thing that you can do because there are also a lot of people that is waiting for a price increase and that would be nice for them if they can sell it.
But they have now to only wait for a higher value and just sell it on the right moment.

Selling everything at this stage would be the worst thing to do with your coins, as we have waited too long to see higher price and now its just a matter of three months so we need to wait till the right time comes.

[yayayo]

Buying "high quality" bonds is the worst advice ever. While I agree that stock markets could drop soon, because valuations are historically high and the economic situation is not really improving, investing the money into bonds is outright lunacy. Bonds are the biggest bubble of all, especially government bonds.

Western governments are more indebted than ever before. Yet their bonds pay no significant or even negative interest. One of the reason: Central banks are buying the debt with freshly printed money. Bonds may be rated "AAA", but in fact most of them are junk. No one in his right mind would invest in bonds - well... except bankers...

The most reasonable alternative to stocks are precious metals and Bitcoin.

ya.ya.yo!

[MingLee]

Well, it certainly is a cataclysmic year so far, so the article is right about that.

"Right now I would be backing my investments with some kind of digital-currency thing I heard of a while ago, that seems to have been performing quite well over the past few years, and if I remember correctly, it sounds like the supply of it might be getting halved or something in a few months, if only I could remember what it was."

I wonder how many investors are going to get shafted by these losses, and will think that same thing as they watch their investment value dwindle.

[outatime1]

Maybe it's time to move some money from stocks to fixed funds for those that have money in retirement plans.  Or at least to some more conservative  funds.