Paul Brodsky HeadshotErik Townsend and Aaron Chan welcome Paul Brodsky to MacroVoices. Erik and Paul discuss:

  • The necessary global reset due to insurmountable leverage
  • Views and outlook for U.S. Treasuries despite obvious sovereign insolvency
  • Signals for exiting the bond market bubble
  • The opacity of currency and monetary issues in Europe
  • Current monetary policy environment as slow-motion "water torture" for the global economy
  • The false deleveraging narrative when viewed in the light of base money
  • The possibility of central banks printing money to buy gold
  • Thinking behind owning gold bullion relative to gold mining shares
  • Oil's role in U.S. Dollar hegemony and likelihood of change
  • Scenarios including disinflation, followed by hyperinflation

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Paul Brodsky founded Macro Allocation Inc (MAI), an independent macroeconomic research and allocation consultant, after having been a professional investor since 1982, first as a trader on Wall Street, and, beginning in 1996, as a fund manager responsible for overseeing investing and risk management. His experience runs the gamut across asset classes, strategies and geographies, and his skilled experience drives MAI analysis, strategy, and asset allocation.

After graduating from the University of Pennsylvania in 1982, Mr. Brodsky began his Wall Street career as an investment advisor for Kidder Peabody & Company. In 1984 he took a seat at the American Stock Exchange to trade proprietary option strategies, and in 1986 he joined Drexel, Burnham Lambert to trade mortgage-backed securities – assets valued based on option-adjusted spread modeling. In 1991, Brodsky helped establish a broker/dealer that generated over ninety percent of revenues through mortgage trading, which he oversaw. The Firm was sold to Piper Jaffray & Company in 1994, where he was a Managing Director.

In 1996, Brodsky transitioned to the buy side. He founded and was the CIO of Spyglass Capital, a fixed-income arbitrage hedge fund that ranked top among all fixed-income funds according to Nelson rankings over various long-term periods throughout its tenure. In 2006, Brodsky returned the majority of the Fund’s capital to investors in advance of the financial crisis, and co-founded QB Partners, a macro fund that allocated capital based on the flow of global money and credit. QB investor letters became must-reads in the post Global Financial Crisis environment among many professional investors, advisors, consultants and other fiduciaries. QB’s assets were acquired in 2013, and in 2015 Brodsky launched MAI.