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Jim Rogers on International Markets

Written By Brian Hicks

Posted September 25, 2013

If you want frank, cutthroat advice about international markets, Jim Rogers is your guy. He’s not afraid to tell you exactly what he thinks, and he doesn’t sugar coat anything. He’ll tell you the best markets for investing, and he’ll tell you which ones are going to crash.

jim rogers bigHis success in investing has given him the entitlement to tell people what he believes, and many swear by what he says. What about you? Do you – or should you – follow his advice? Let’s look at what he’s saying right now.

Jim Rogers on International Markets

Rogers says some markets are “exciting” right now, while others are headed for doom. This crisis is sure to hit places like India and China, according to him. In a recent interview with Business Insider, he claimed the “wolf is now at the door in India.”

What’s the cause of the crisis in India? Essentially, it’s the government. Rogers believes the government is not managing the nation well enough, and that will end up causing further problems.

Rogers also believes there are going to be some major depressions in China’s economy. He advises investors to take advantage of the problems that may occur – specifically looking at agriculture, pollution, tourism, and the railroad system.

He blames the low interest rate from the United States for much of the problems with emerging markets such as Indonesia, India, and Turkey. He said in his interview with Business Insider:

“Look at Indonesia, look at India, look at Turkey. They have got these huge balance of trade deficits which are easy to finance with low interest rates, but now they are all suffering.”

But while Rogers anticipates economic failures in China and India in the future, he sees Angola as “exciting.”

He told Business Insider:

“Some are going to do well… Angola is very exciting right now, some emerging markets are going to have great times ahead, others are not.”

From an interview with Yahoo’s Daily Ticker

“I said to my wife, ‘let’s move to Angola – we could live like kings…She said, ‘you move to Angola; I don’t want to live like a queen in Angola’…but you could!”

It’s evident that Rogers is a big promoter of Angola’s prosperity. He also sees opportunities in African nations like Ethiopia and in South America, particularly Uruguay.

Angola, as the Daily Ticker points out, is the second biggest oil producer in Africa. It’s planning to enter stock exchange trading in 2016 and the futures and commodities markets in 2017. And the economy has been looking up – in 2012, it grew as much as 7.4%.

Uruguay has a low cost of living on its side. According to International Living, it costs 30% to 40% less to live in this country compared to the U.S. Investors are attracted to the influx of opportunities in the country, and thus it will end up growing the country.

What This Means for You

Rogers has some really great points in his recommendations. China will end up hitting bumps in the road. India will continue to have problems. Nations in Africa and South America, on the other hand, don’t get a lot of publicity, but they have a lot going for them. With oil production and low costs, it makes sense to invest in those areas. Money is coming into these places as people look for opportunity, and that means there’s money to be made. On the flip side, there’s not enough money flowing into India, Indonesia, and Turkey to keep them afloat.

Start looking at the economies of the places Rogers recommends. He’s on to something, as he always is, and you might as well cash in on some of his successful investing.


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