Unsafe Assets
The history of monetary systems is riddled with crises, resets and failures. There are two factors which typically initiate a crisis: a lack of trust from the general public, and the abuse of monetary powers by policymakers.
After several years with inflation above two percent, investors are increasingly losing trust in the Federal Reserve’s willingness to follow its ability to maintain its inflation target, and in the Dollar.
We believe the process of monetary debasement is accelerating.
September 2025
A capitalised “In God We Trust” appeared on American banknotes for the first time in the 1950s. To give credit is to trust, and to lose trust is to lose everything. After several years with inflation above two percent, investors are increasingly losing trust in the Federal Reserve’s willingness to follow its ability to maintain its inflation target, and in the Dollar.
We believe the process of monetary debasement is accelerating.
The general backdrop is a lack of sustainable funding sources for Western governments. With the exception of Canada, Australia and Germany – most countries in the West have limited budget capacity, a stable or declining population, and lack natural resources.
Why now?