I joined Erin Ade today on Boom/Bust to talk about some macro events. The video can be found here, but here’s a brief rundown. Oh, also, I’ll be joining a Boom/Bust roundtable discussion tomorrow to debate the merits of gold – Peter Schiff will be on the panel so that should be fun….
- I briefly discussed why I wrote my book, Pragmatic Capitalism and how one of my main goals was to bridge the fields of finance and economics to hopefully provide a superior understanding of how both fields are much more closely intertwined than we often think.
- Why endogenous money is so hard – in part, it’s because money is something that is a construct of the human mind. That is, the whole financial system is not necessarily tangible or real in the sense that goods and services are. So the idea that we have created this whole system out of thin air is not only difficult to comprehend because it’s complex, but it is also somewhat hard to believe in because, ultimately, that’s what our system is built on – trust.
- Why the low inflation environment is a sign that future returns are likely to be much lower than many people expect.
- Why investors are going to have to come to grips with the likelihood of lower future returns.
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.