Nancy Davis of Quadratic Capital joins the podcast to discuss the danger of interest rate volatility risk.
The market is at “peak confidence of central banks being able to control markets” (2:27), as evidenced by the historic low in all gauges of interest rate volatility (5:36). The risks of stagflation (8:37) and a trade war with Europe (10:16) are similarly discounted.
Background on Nancy (14:39), further information on her fund (17:23), why gold is an ineffective inflation hedge (22:05).