July 25, 2012
Welcome to Capital Account. The Federal Reserve is moving closer to action…again. This, according to the Wall Street Journal, which reports that recent disappointing economic news has turned conversations inside the central bank towards the question of how and when to act. But is the Fed the only one worried about “how and when to act?” What should the average investor do in the case of inflation, price manipulation and financial fraud? We talk to Brad Farquhar, Co-Founder & Vice-President of Assiniboia Capital, about farmland as possible hedge against the fat-tail apocalypse…
And Timothy Geithner was on Capitol Hill today answering questions about his reaction to finding out about the manipulation of Libor in 2008. Though he alerted UK authorities, he told Congress ultimately, he thought it was the responsibility of UK regulators to address Libor manipulation issues. Meanwhile, Bank of England officials reportedly raised concerns internally about the London Whale in 2010…after all it was the responsibility of US regulators to handle JP Morgan. Back and forth we go. Are you as sick of this as we are, but not sure what to do about it or who to react in order to protect yourself? We will talk about farmland as a way out with Brad Farquhar, manager of the largest farmland fund in Canada.
And with Agora’s 2012 “Innovate or Die Conference” in the middle of its annual retreat to Vancouver, our producer Demetri Kofinas gives us an update from the ground. He has been attending the conferences, and rubbing elbows with some of the world’s “financial first responders” as our Monday guest Eric Fry, has described them. He tells us why the investors here are “bearishly” optimistic!