Stansberry Research, Released on 3/15/23

“People fall in love with the shiny object, and in the case of FTX it turned out to be a fake,” says legendary short seller Marc Cohodes. “The world right now lacks people’s ability to actually think. The more I dug in on Silvergate’s clients, one was worse than the next [Signature Bank],” he tells Daniela Cambone. “I told people Silvergate is a publicly traded crime scene and the CEO needs to go to jail,” Cohodes says. “I’m very proud of the work I did here and the time I put in because two really bad outfits are now out of business,” he continues. “I had three bullets in my gun and all three hit the target… I’m also short Helen of Troy. It’s headed for big-time trouble,” Cohodes predicts. “The cost of living is out of control and the CPI does not capture how expensive it is these days to live,” he continues. “The Fed has really messed things up over the past decade and a half with the generation of easy money,” Marc states. “It’s why these banks are all in trouble. They borrowed all of this cheap money with low interest-rate investments… It’s all coming home to roost,” he argues. “The Fed is in a real box and they need to take interest rates way up and absolutely kill inflation,” Marc continues. “[The Fed] really needs to slow things down hard and break inflation… We are in a zombie state,” he concludes.

00:00 How did Marc predict the banks’ fall?
4:22 A worldwide money laundering scheme
9:08 Who’s next?
11:35 Marc’s thoughts on media
13:44 Interest rates hikes and inflation
17:56 The Fed is protecting the banks from higher rates
19:20 Run on the banks
21:00 Marc’s view on crypto
24:04 What should people do to protect themselves?
26:13 How exposed is Marc to the banking system?
28:23 Do you hate Canada?

Marc Cohodes is regarded as one of the world’s most successful short-sellers. Before retiring, Cohodes previously ran one of the largest hedge funds in the world, Copper River Partners. They managed over $1.5 billion in assets, and made a fortune betting against companies whose books and practices didn’t quite make sense. In 2008 Marc quit the financial game after a correct bet against Lehman resulted in a complication between Copper River and Goldman Sachs, which led to the fund’s demise. Since then he’s retired from his trade desk, and runs Alder Lanes, a swanky chicken farm in Sonoma County, California. Marc has since come out of his self-imposed short selling retirement after noticing several shorting opportunities too good to pass up.

  federal reserve, ftx, Marc Cohodes, svb