Equity Management Associates

EMA Q2 2021 Letter

• GDP and stock markets rebound
• US Government debt hits 130% of GDP 
• Frothy conditions in equity & debt Markets
• Crack Up Boom? Extreme financial conditions abound
• Inflation breaks out to 30 year record (Inflation > 10% when calculated properly)
• Fed is Trapped - they can not raise interest rates or taper without a hit to the equity markets.
• Opportune time to invest in "Monetary Debasement Insurance" through EMA
• Fund Strategy and Positioning
  • Values are compelling.  Gold and silver miners are the world's cheapest assets
  • Bitcoin as % of our portfolio continues to grow

Read More >

EMA Slide Presentation

• Credit Bubble created over past several decades is unsustainable.
• Given the elevated levels of global sovereign debt, Central Banks are trapped.
  • Higher interest rates will cause deficits to swell;
  • Fed monetization of deficits is required to keep interest rates low. 
  • Broad based inflation will surely follow.
• Small investment by our clients = large insurance payoff if inflation ensues.
  • Prudent to consider investing a portion of your assets in monetary debasement insurance.

FAQ Results

Information to come...