Capital Flight From Hong Kong

Published on
June 5th, 2019
Duration
9 minutes

Capital Flight From Hong Kong

Future Fears ·
Featuring Kyle Bass

Published on: June 5th, 2019 • Duration: 9 minutes

Kyle Bass, CIO of Hayman Capital, discusses the dire geopolitical situation in which Hong Kong finds itself. Bass talks with Raoul Pal about how the threat of Chinese political interference could lead to financial crisis caused by capital flight. This video is excerpted from a piece published on Real Vision on May 3, 2019 entitled “The Asymmetric Opportunity Revealed.”

Comments

Transcript

  • CL
    Chris L.
    8 June 2019 @ 07:49
    There's too @#$%#@$ much recycling content, and free stuff on YouTube. Almost ironic considering their issues of growing subscribers.
  • SB
    Stephen B.
    5 June 2019 @ 13:20
    Fascinating. Twenty + years ago, prior to the hand over, many Hong Kong residents applied for Canadian residency (and subsequent citizenship), fearing the take over. In the years following the 1997 take over, many families moved back to Hong Kong, having concluded that the "two systems" approach was going to work, so much so that there are now several hundred thousand dual citizens living in Hong Kong. If the "two systems" approach and/or the economy is going to break down, that suggests a mass migration back to Canada.
    • DR
      David R.
      5 June 2019 @ 17:08
      Maybe but probably not. Why would anyone wealthy enough to own multiple international homes and move among them relocate from a 0% investment tax regime like Hong Kong to a 60% income tax regime like Canada? In fact, West Vancouver house prices have recently crashed 40+% and continue to collapse today as the wealthy Asians continue to flee Vancouver and North America for various Asian tax-free Asian destinations, such as where I've moved. Erik Townsend (founder of MacroVoices, his own s/w company and family office hedge fund) just became a permanent resident of Hong Kong in late 2018. The wealthy are voting with their feet. Hong Kong is currently home to more billionaires than any other city in the world. These people are not fools, at least not when it comes to money! They shouldn't keep all their money in Hong Kong, but they and numerous top money managers - particularly from Europe - find it a highly attractive place in which to live for the long run, if you can afford it. And retain that 0% tax rate on their international investments.
    • SP
      Stephane P.
      6 June 2019 @ 23:10
      Impossible, it's freezing cold in Canada.... :-)
    • DR
      David R.
      7 June 2019 @ 16:01
      Stephane P, yeahbut it's hellishly hot & humid in Asian tax havens.