Marc Faber, the Swiss investor based in Thailand and the publisher of gloom boom doom report said the above.
As from wiki, Faber is credited for advising his clients to get out of the stock market before the October 1987 crash. Faber predicted the rise of oil, precious metals, other commodities, emerging markets, and especially China in his book Tomorrow's Gold: Asia's Age of Discovery. He also correctly predicted the slide of the U.S. dollar since 2002. In 2012, Faber claimed that there was a "100% chance" of a global economic recession later that year or in early 2013.
Faber also said that the market is likely to crash in 2016/2017 period.
Precisely the wrong time for Fed to hike
Few days ago, Faber was interviewed by CNBC and he said Fed rate hike is not so important compared to the global economy now. The fact is global economy is decelerating and many countries is in recession or going into recession.
He felt that after QE3 in 2012, the economy is growing rapidly and it presents good time to hike and not compare to now. In theory if they raise rates now, it is precisely the wrong time. Refer to link here.
In an interview last month, Faber also said the market of today is manipulated by a bunch of clowns in central banks around the world. Refer video below.
So what we should do according to him?
You have to be diversified now!
“Hold some real estates, some equities, some bonds and cash, and some precious metals.”
And even if you hold gold, you must hold the physical gold outside US or Europe, and preferably keep in the East.