The Covid Crisis: A Replay of 2008? – Live with Chris Whalen

Published on
April 20th, 2020
Duration
53 minutes

Beyond the Brink – Live with Dee Smith & Raoul Pal


The Covid Crisis: A Replay of 2008? – Live with Chris Whalen

Live ·
Featuring Chris Whalen

Published on: April 20th, 2020 • Duration: 53 minutes

The last time that the world experienced an instance of major economic turbulence, the banks were blamed for their reckless and irresponsible behavior. That event, brought the global economy to its knees, left millions unemployed and sent house prices tumbling. Now, in the face of an unprecedented crisis, we naturally have to ask: In what conditions are the banks today? Will this be a repeat of 08? Chris Whalen, chairman of Whalen Global Advisors, joins Ed Harrison on this week’s Real Vision Live to determine the health of both banks and non-bank lenders while digging into the impact of an economic fallout of this magnitude on commercial and residential real estate.

Comments

Transcript

  • SF
    Scott F.
    27 April 2020 @ 17:02
    Not sure Chris's advice on the housing market in the NW US is on track. The NW is a high priced, volatile market, and if a 1/3 of the home owners in forbearance end up defaulting (his estimate), this could have a negative impact on the over-all housing market. If I were thinking of purchasing a house in the NW US, I would sit on the sidelines for another 6 months or so, and monitor actual purchase / closing prices, inventory levels, days on the market, etc. I do agree, the interest rates are not going higher anytime soon, so there's no reason to purchase right now, unless you find a smoking deal...
  • SS
    Shanthi S.
    24 April 2020 @ 04:26
    Fantastic interview. Thank you both.
  • SW
    Stephen W.
    24 April 2020 @ 03:04
    Steve W, Would Chris share which preferreds he would buy now?
  • DR
    David R.
    23 April 2020 @ 08:34
    Thank you for providing the transcript!
  • JR
    Jon R.
    22 April 2020 @ 14:01
    Very few have the depth of knowledge w regard to banks like Chris does. Have to say though....find it odd that given his insight, the only exposure he indicated he has is in some blue chip preferreds.
    • KT
      Kai T.
      23 April 2020 @ 04:08
      His portfolio is only down 7%. And he just bought more preferreds for an undervalued price. Sounds like he knows how to invest.
    • KT
      Kai T.
      23 April 2020 @ 04:26
      Not only that he actually made some gleeful statements about 3 companies at 31:30 and said: "a good time to go shopping". He's going shopping.
    • KT
      Kai T.
      23 April 2020 @ 04:37
      *two not three.
  • BM
    Brook M.
    22 April 2020 @ 22:08
    "We don't need politicians and well-intentioned economists telling people whether they should pay dividends or not. We have enough interference coming from the political sphere in the markets right now." Amen, and hallelujah. Great guest and great (as usual) questions asked by Ed.
  • TP
    Timothy P.
    22 April 2020 @ 16:46
    I'd like a break from the trend of privatizing profits and socializing losses when it comes to banks. Luckily the Fed has gone off the rails, so the ensuing insolvency should be interesting. No one is going to get bailed out when that hits. A functioning capitalist system penalizes misallocation and poorly managed businesses. Its long overdue that we return to that system.
    • DS
      David S.
      22 April 2020 @ 18:50
      I think the major changes that caused businesses to radically increase risk was the long-term view to a quarter-by-quarter view, government bailouts and zero interest rates. DLS
  • CT
    Crispim T.
    22 April 2020 @ 18:41
    No chapter topic splits? They're super useful in all videos.
  • AW
    Aaron W.
    22 April 2020 @ 18:03
    Can't wait for the transcript, the explanation of Mark Calabria's actions was very insightful.
  • BP
    Barry P.
    22 April 2020 @ 02:32
    Chris is excellent, really great interview.
    • AW
      Aaron W.
      22 April 2020 @ 17:57
      Agree wholeheartedly! Invite him back. Loved the broad overview and annualized numbers which contextualized the industry for me. A+