FROM THE DESK OF PORTER STANSBERRY
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Biden is in great health? And every other lie they’ve told us over the last five years? So, to keep ourselves objective and independent we refused to take commissions. We refused to accept advertising. And we refused to accept outside investors. That continues to be the guiding light of our business today, just as it was 25 years ago. And I believe that anyone who was willing to roll up their sleeves and do truly objective investment analysis on those institutions back when I first started warning our readers about them, they would have come to the same conclusion. In fact, I have met dozens and dozens of government officials and senior investment bankers who have told me “Porter, I’ve been reading your newsletter for 20 years and I wish I could say the things that you get to say every month.” AMY: Well, we know now you were right about GE, and Fannie and Freddie, and the others. But after everything we’ve seen since the global financial crisis... and more specifically, how high the market has soared this year... do you still believe the dollar is in imminent trouble? PORTER: Absolutely. I’m hopeful, though not optimistic, that we can return our country to sensible monetary policy. But look, this bubble that we’re experiencing right now is a direct consequence of all of the money that the government has pushed into the banks to bail them out of their losses on the bond market during the pandemic. It’s a return to the same boom and bust cycle we’ve been on since the early 1970s. So, it’s not surprising that you would see a big blow off top before a really serious depression. And I think that’s probably what we’re experiencing right now. Plus, of course, the other thing that’s pushing the market to unbelievable heights is the unlimited fiscal spending, right? If our elected leaders continue to spend so recklessly and without any discussion in public at all about the threat of these debt levels, then it’s possible that this train can run a lot further than anybody, including me, thinks. AMY: Is that why you continue to warn about the coming crash for stocks?
PORTER: You know, it’s a great question, Amy.
I think that’s because what you believe about the world often depends on where you sit. It’s difficult to be objective about the hand that’s feeding you. For example, how could anyone in finance have missed the fact that General Motors couldn’t make enough money selling cars to pay the interest on its existing debts and pension obligations? Well… General Motors and its local dealers were the largest buyers of advertising in the United States. Virtually every newspaper and every media network needed GM to buy advertising to maintain budgets. Or ask yourselves, how could anyone in finance have missed the fact that Fannie Mae and Freddie Mac were insuring subprime mortgages that were certain to contain hundreds of billions in losses? Well… Fannie Mae and Freddie Mac sit squarely in the center of the entire global financial system. Which professional in finance could warn of their impending collapse without risking a global financial panic? Or take General Electric… Ahead of the financial crisis, General Electric was a major issuer of corporate debt and paid millions and millions in fees to Wall Street’s biggest banks. It also owned the major financial cable channel, CNBC. Which media outlet could afford to report critically about their management or their declining financial results? You see, virtually every media outlet has some kind of obvious bias that greatly distorts the facts they report. But what investors have to have to be successful is absolute, desperate objectivity. You have to know your own biases and you have to know the media’s biases. You’ve got to be objective. That’s the reason the entire investment newsletter industry was born. We pioneered a new mode of financial thinking – one that operated independently from Wall Street and the mainstream financial media. We built our business around one key goal: to give our subscribers the information we’d most want if our roles were reversed. To do so requires a dedication to publishing the facts we uncover without fear or favoritism. It’s not easy to tell the unpopular truth, but it’s what we do. This is the role of the free press in our society. But it’s an obligation the mainstream media has forgotten. I mean, how many times did the media tell you that Joe
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