Prior he worked for Raiffeisen Zentralbank (RZB) in
the field of Fixed Income/Credit Investments and then later on joined Erste Group Bank, covering International Equities,
especially Asia. In 2006 he began writing reports on gold and gained media
attention when he expected the price of gold to rise to USD 2,300/ounce when
the current price was only at USD 500. His six benchmark reports called
"In GOLD we TRUST" drew international coverage on CNBC, Bloomberg,
the Wall Street Journal, Economist and the Financial Times. He was awarded
"2nd most accurate gold analyst" by Bloomberg in 2011. He also
writes reports on crude oil. Mr. Stoeferle is managing two gold mining-baskets
and one basket for silver mining-equities. He studied business administration
and finance at the Vienna University of Economics and the University of
Illinois at Urbana-Champaign. Mr. Stoeferle is also a Chartered Market
Technician (CMT) and a Certified Financial Technician (CFTe).
Ronald-Peter Stoeferle is
a noted Austrian economist and money manager who believes strongly that
"we should expect that financial repression as well as wealth taxes in
various facets which will increasingly gain in importance in coming
years". He believes "this to be a disastrous strategy, as the
redistribution will merely buy time, while the structural problems remain
unsolved."
Financial Repression
"Financial
repression always consists of a combination of different measures, which lead
to a significant narrowing of the universe of investable assets for
investors. Money which in a more liberal investment environment would have
flowed into other asset classes, is channeled in a
different direction. The goal of financial repression is an indirect
reduction of government debt by means of the targeted manipulation of the
cost of government debt, most of the time accompanied by steady
inflation."
"Financial
repression is ultimately a government imposed transfer of wealth."
Developed country
governments because of their previous policy stances now have only two
monetary options. Financial Repression is the course that has been chosen.
This is because it is preferably to have "quiet debt reduction"
achieved by:
- Direct
or indirect capping of interest rates (especially on government bonds),
- Measures
such as forcing domestic investors to invest in domestic capital
markets, such as capital controls and regulations forcing institutional
investors to hold portfolios with a "home bias",
- Taxes
that make alternative investments more expensive (e.g. transaction
taxes),
- Measures
that imply a direct or indirect influence of government on financial
institutions (macro-prudential regulation),
- Negative
deposit interest rates, which increase the incentive for banks to invest
in relatively risk-free assets. Banks are thus encouraged to monetize
government debt - something that can rightly be called an inflation
policy.
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