💸 Jim Rogers recommends investing in the U.S. dollar as a safe haven to preserve capital during the coming recession.
🤔 Despite acknowledging the U.S. as the largest debtor in history, he anticipates investors will still flock to the dollar in times of trouble.
🛡️ He suggests buying short-term Treasury bills, which offer lower risk and provide an annual interest return.
📈 Investors can access these assets through American Treasury bills or ETFs like BlackRock’s, which invests in 1- to 3-year Treasury bills.
@Artedeinvertir:
“Additionally, he also gave an explanation of why, when the next recession comes, he recommends investing in dollars as a safe haven to preserve our capital. In fact, he said the following: ‘The dollar has ceased to be a safe currency. The United States is the largest debtor in the history of the world, but most people believe that it is. They think it is a safe haven, so when problems come, they will run to take refuge in the dollar as a safe asset.’ Normally, when investors talk about investing in dollars, it is not simply buying the currency and waiting because it will depreciate; what they usually do is buy short-term Treasury bills, given that they have much less risk than long-term debt and pay an annual interest that provides an additional return. There are mainly two ways to invest in this class of assets. The first way is to buy American Treasury bills, which currently offer an annual return of over 5%. This can be done through any broker. The second way is to buy an ETF that in turn invests in these Treasury bills. There are many cases, such as the one from BlackRock, which trades under the ticker HSI, that invests in American Treasury bills at 1 and 3 years, which also has a return of around 4.8% today.”
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