hey guys welcome back to Nifty invest in a recent video Lynette sang A renowned Financial expert she sheds light on the critical issues unfolding within the financial system the video delves into the consequences of central banks raising interest rates and the subsequent impact on various debt assets Zhang argues that the true extent of this crisis remains concealed from the general public as it is in the best interest of financial institutions to keep it hidden Kruger expert analysis Zhang reveals the impending risks and discusses the potential Ripple effects that may affect corporations Banks and even individuals
Zhang Begins by emphasizing the magnitude of the crisis within the financial system when central banks such as the Federal Reserve raise interest rates the market value of debt assets plummets significantly these assets include mortgages student loans car loans derivatives and all other forms of debt instruments Zhang stresses that this decline in Market valuation affects everyone as we are all interconnected within the financial system however the true extent of this crisis remains largely hidden from the public eye as the authorities cannot disclose the full truth revealing the reality would result in individuals making different choices such
as investing more in gold and silver which would undermine the wealth held within the existing system according to sang the events witnessed in March were some banks face challenges were rarely a glimpse of what is yet to come every financial and corporate entity from large Banks like JPMorgan to small Community Banks faces the same predicament the accumulated debt acquired during the era of zero interest rates now presents a significant problem as interest rates rise the market value of these debts diminishes making it difficult for corporations to borrow against them this predicament forces companies to seek
additional Equity or reduce borrowing ultimately leading to potential bankruptcies don't forget to like And subscribe if you enjoy the content we do here on this channel let's get right into the video [Music] there's got to be things that are happening inside of the financial system hugely just because when the FED raised rates when the global central banks raise rates the market value of all of those debt assets so you're talking mortgages you're talking a student loans you're talking car loans you're talking derivatives you're talking every single even the debt that created this crap right every
single debt instrument out there it's Market valuation is substantially lower and we are all of us incestuously intertwined and so that is being hidden it's like all we see is maybe this much of the iceberg when the iceberg goes down from here to China right and they're keeping that hidden from us because that's their job right they can't tell us the truth because if they did they would make different choices we would own a lot more gold and silver right people in the world would have a lot less wealth held inside of their scam of
a system and it is an absolute scam biggest scam Bernie Madoff you know chump change so you know there's absolutely no doubt but that we have such a huge crisis that is just not obvious yet but make no mistake about it it is unfolding now period end of discussion the banks that went out in March that was just a little Snicker snack of what's to come because this is true I don't care if you're a JP Morgan or you're the smallest Community Bank this is true for every single Bank every single financial and corporate entity
look at private Equity all this debt to your point Daryl all of this debt that was taken out under the zero interest rate policy well guess what as interest rates go down the market value goes up they could borrow against this higher market value but that's now flip-flopped so they're all under water when all of this debt has to uh has to roll over they can't borrow as much because it's not worth as much so what are these corporations going to do they either have to come up with more Equity or or borrow less which
means they have to come up with more Equity or they ultimately they're going to declare bankruptcy furthermore Zhang highlights the domino effect caused by corporate bankruptcies syndicated commercial real estate brokers who assembled large property deals and sold them to the public for instance are now abandoning these Investments the decline in occupancy rates and income generated from these properties has resulted in Brokers returning them to the banks this situation has a direct impact on the bank's stability and raises questions about the real value of the contracts tied to these properties Additionally the holders of real estate
investment trusts creates such as pension plans and retirement funds suffer losses which ultimately affect individuals Zhang argues that the financial institutions and authorities involve deliberately hide the extent of the crisis from the General Public they discourage individuals from realizing their direct or indirect exposure to these risks as this could trigger panic and mastelling consequently people may demand the return of their money only to discover that it is no longer available this lack of ownership and control over assets underscores the importance of minimizing counterparty risk during such uncertain times Zhang drawing on her expertise as an
ex-banker and stockbroker chooses not to hold her wealth in overvalued assets such as stocks bonds ETFs and annuities instead she opts for tangible assets like gold aligning herself with the global central banks that have been significantly increasing their gold reserves and then that's a ripple effect right that's like a domino effect rather where you know look at how many large syndicated commercial real estate Brokers that put all these big deals together package them into REITs and sell them to the public right all of that property you know they're walking away from it now they're going
uh you know the interest we're not making enough money we're not as occupied office building Mall Etc we're not so we're giving you back to the bank if they had a non-recourse loan then they're giving it back to those Banks well how does that impact the banks and even if they don't give them back what's the real value of those contracts that they signed when the value of the real estate was up here and now it's down here I mean this and what about the holders of the REITs the pension plans the retirement funds what
about that and then that impacts you and me do they want you to realize that you're impacted by that no because then you want to sell it and what are they doing when people want to sell when you get to a certain level no I'm sorry too bad so sad you can't have your money back and then what are you going to do because we know what's that bottom line if you don't hold it you don't own it regardless of your perception and this is not the time to be running that level of counterparty risk
it's ridiculous that's why I don't own any that and I'm an ex stockbroker for somebody like Ray dalio whose job is kind of trading in and out that's one thing me personally I am not a Trader I am quite clear on what's happening in the monetary system because I've studied currencies and currency life cycles since 1987. I know how deeply I dig into this stuff so I it doesn't make a lot of sense for me to have the Lion's Share of my wealth in an overvalued asset or instrument meaning stocks bonds all that ETFs mutual
funds annuities all that garbage it makes no sense for me to hold my wealth there when there is not one doubt and all of the evidence it's not wishful thinking it's just all of the evidence is that the only thing you can convert them into this garbage is losing value because last time I checked a trillion times zero was still zero in terms of the broader context Zhang refers to the transition occurring within the global monetary system she highlights how historically central banks transitioned from a quasi-gold-backed system to one based on their ability to create
Fiat money and accumulate debt however the tide is now turning as central banks are raising interest rates and puncturing the debt bubble that has been growing since the 1980s Zhang firmly believes that this crisis acts as a catalyst for a grand transfer of wealth as governments and financial institutions exploit the resulting fear and uncertainty Zane finds hope in the power of collective action referencing the protests that erupted in China following their strict lockout measures these protests influenced a change in policy highlighting that when enough People Unite and voice their concerns their impact can be significant
although she acknowledges areas of agreement with Ray dalio another prominent Financial figure Zhang firmly believes that allocating a mere 10 percent of one's wealth to traditional financial instruments is insufficient given her deep understanding of currencies and currency life cycles she emphasizes the need to protect one's wealth by investing in assets like gold so that's where I absolutely disagree but he's in a different circumstance because he's wise and he sells that stuff and he makes Fiat money doing that um I am all personally I'm all in you know as an ex-banker as an ex-stock broker and
as somebody that is Crystal Clear I'm going with the global central banks that have bought more gold than they have going all the way back to the 60s and what was happening in the 60s we were transitioning into a new monetary system one that was at that point quasi-backed by gold to one that was backed by uh to your point the central bank's ability to just print more money and take on more and more and more and more debt right but the reverse is happening now and the global central banks that have raised those interest
rates have popped that debt bubble that has been in the works for since the early 80s and there is absolutely zero doubt in my mind none because this is how they do the transfer we've got we need this next Crisis to scare people enough and I think what happened in 2020 and 2021 it was a test what can we get away with how much can we get people to listen to what we're telling them to do and I look at China and what happened with China in their absolute lockdown position and then all of a
sudden they've had more protests than they have in decades and they shifted what they were saying so you know and they went away from the zero lockdown policy that gave me a big a big jolt of Hope because in that most surveilled and most controlled economy we saw that when people come together enough people come together and they speak loud enough it makes a difference so going back to Ray I I agree with him in many things and I'm hopeful on some of those but I think 10 isn't even marginally I mean why why you
want to throw the 90 away why [Music]
