One of the reasons Kyle Bass has been down on China since October of 2015 is that he’s got millions and millions tied up in short-selling ventures betting against the Yuan, China’s version of the “dollar”. Bass thinks that poor credit decisions among China’s banks are going to force the country into a currency devaluation that will happen in the next three years, with–according to Bass–a forty to fifty percent chance of happening this year. If there are other funds or investors who would have put money in Asian markets, they’re likely to refrain from doing so considering Bass’ predictions.
Kyle Bass did s short-sell investment like this prior America’s 2008 financial meltdown, and became famous for it. He bet that the poor financial practices of US banks would result in collapse, and was proven correct when the sub-prime lending bubble burst. Is Bass correct about China right now, or is he scrambling to push people from a public place into restraining investments based on his own ideals? Bass points to the 3 trillion dollar investment bonds market which is currently freezing up, according to him. Is he right about that, or is he just trying to further incite investors into restraining their investiture?
He’s in collusion with Cristina Fernandez de Kirchner, as referenced by his inability to criticize even her worst financial decisions. De Kirchner is the president of Argentina, and by most accounts a socialistic tyrant. The woman has defaulted Argentina twice in only thirteen years; yet Kyle Bass always supports her decisions. That in itself is suspicious; but not nearly so suspicious as Bass’ organization “CAD”, the Coalition for Affordable Drugs. CAD uses public sympathy, petitions, and lawsuits to force big-ticket pharmaceutical companies into dropping drug prices which destroys their stock, and allows Bass to short sell it. If Bass isn’t above stealing opportunity from the infirm, why would he stop at hoodwinking investors such that they invest according to his ideals?