Today one of the savviest and most well-connected hedge fund managers in the world warned King World News that the coming catastrophic collapse will usher in a sinister “New World Order.” Outspoken Hong Kong hedge fund manager William Kaye also spoke with KWN about how all of this will impact investors, as well as key markets such as gold and silver. Kaye, who 25 years ago worked for Goldman Sachs in mergers and acquisitions, had this to say in part II of his fascinating and powerful interview series.
Kaye: “Investors have a number of things to be concerned about at this point. One such problem is the Middle East. Things aren’t going very well in Syria, and I think it’s pretty apparent that it’s the rebels, and Western forces are backing them, who are causing most of the mischief.
Even the U.N. report correctly said that its own task force determined that the rebels were responsible for whatever chemicals were used against the Syrian population. Again, this is the United Nations and their own experts who were sent in to examine the situation….
“So this really calls into question the legitimacy of what’s going on in the entire region, as well as what the United States, Britain, France, etc., are trying to accomplish in terms of a regime change.
The way this ties in to the gold situation is twofold: One, that region is poised to become much more unstable. Obviously this will be constructive for the gold price. Virtually no one wants to see an escalation of what is happening in the Middle East.
But I think gold will also benefit even if there is peace because the lesson everyone is learning from this is they can’t even trust their own governments. Governments lie to people. The American government has a long history of lying to its own people. The British government lies to its people. The other Western governments also lie to their people.
So why should they trust the currencies of the regimes in which there is no legitimacy, where the governments are lying to them repeatedly? If they are lying to them about things taking place in the Middle East, it stands to reason that they also are lying to them about other things as well, including the economic data that gets published. This kind of thing also goes right to the heart of the governments issuing the currency, and this is all very good for gold and silver.
The reality is that we live in a world where there needs to be some type of resolution. The policies that are in place in the West are not sustainable, and if something can’t be sustained, it won’t be sustained. So the question is: At what stage does it blow up, and how do you want to be positioned when it all implodes? It is inevitable that this current system will collapse. My own view is that we have 12 to 18 months. I really can’t fathom the current set of circumstances lasting much longer.
I myself have made the obvious choice: I have made a major bet on physical gold and physical silver, which is safely stored outside of the banking system. This is how my clients are positioned, this is how I’m positioned, and this is why I sleep very well at night.
I strongly believe that things are going to take an ugly turn in the fairly near future. The policies that are in place are doomed to fail. At that stage, there is going to be a ‘New World Order.’ It’s not going to be something that I’m probably very happy about. or that your readers are going to be very happy about, but the harsh reality is there are going to be major changes.
Part of that change will involve the gold price being reset to a much, much higher level. Silver will obviously migrate higher as well — it has to. And investors who have positioned themselves appropriately, as we have, will be rewarded for their patience and their endurance from having dealt with all of the nonsense (manipulation) that we have had to deal with over the last couple of years.”