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Miles Franklin Media

Why BRICS Cannot Rival The U.S.

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Breakdown

0:00BRICS· ticker

BRICS currency — China-dominated, India/Russia distrust

  • BRICS currency requires India handing over sovereign money management to China
  • Russia turning over sovereign money management to China
  • BRICS 20 countries' stock market not rivaling US
  • BRICS bond market not rivaling US
  • BRICS venture capital market not rivaling US
1:47Gold· ticker

Gold — neutral reserve asset in de-dollarization

  • Countries using gold as neutral reserve asset
  • Gold compensates for lack of trust in own currencies
1:48US stocks· ticker

US stocks — dominant global market

  • BRICS currency holders would trade it for US stocks
  • US stock market bigger than rest of world combined
1:49US Treasuries· ticker

US Treasuries — safe haven for BRICS currency holders

  • BRICS currency holders would trade it for US Treasuries
  • US Treasuries offer better safe returns than other bonds
1:50US venture capital· ticker

US venture capital — preferred investment for BRICS currency

  • BRICS currency holders would trade it for US venture capital
  • US VC market bigger than rest of world combined
1:51US angel investing· ticker

US angel investing — preferred use for BRICS currency

  • BRICS currency holders would trade it for US angel investing
  • US angel investing market bigger than rest of world combined
1:52US corporate bonds· ticker

US corporate bonds — safe return for BRICS currency

  • BRICS currency holders would trade it for US corporate bonds
  • US corporate bonds offer better safe returns than other bonds
1:53Japanese debt· ticker

Japanese debt — negative real rates and currency depreciation

  • Japanese debt pays 110 per dollar
  • Japanese debt now pays 150 per dollar
  • Lost 35% on yen falling against dollar
1:54Yen· ticker

Yen — depreciating against dollar

  • Yen falling against dollar
  • Lost 35% on yen falling against dollar
1:55lesson

BRICS currency — unlikely to succeed due to distrust

  • BRICS currency unlikely due to distrust between countries
  • Russia, India, and China unlikely to trust each other
  • BRICS currency would be used for US markets

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