The CEO of Monex Group, a large Japanese securities company, has recommended investors to buy bitcoin (BTC), gold, and US stocks.
In a blog post, Monex chief Oki Matsumoto advised first-time investors to stay away from conventional liquid assets and favor cryptocurrencies and precious metals.
Matsumoto said central banks are already printing more money than during the 2008 financial crisis in response to the financial effects of the coronavirus pandemic. A factor that, according to him, will inevitably lead to inflation.
This, according to the head of the Monex Group, will likely lead to a drop in the credibility of fiat currencies such as the US dollar and the yen. Taking investors to start buying gold, and "digital gold", that is, bitcoin.
Price increases, Matsumoto says, could also play an important role. Large-scale quantitative easing, a monetary policy that involves the purchase of government bonds by central banks to inject money into the economy and boost economic activity, could raise prices; resulting in a decrease in the value of savings in fiat currency.
In this way, precious metals such as gold and platinum, which are both rare and of finite supply, will experience a rise in demand. And bitcoin, which also has a firm emission and supply limit, has all the characteristics of an asset like digital gold, one reason investors will continue to flock to it.
However, Matsumoto believes that there is still a role for investments in the stock market. He claims that the gold and bitcoin markets are "too small" to handle the needs of major global investors on their own, and he recommended that investors consider buying US stocks.
He also opined that the Federal Reserve, the United States Central Bank, was likely to make liquidity moves that will lead to a rise in US share prices.
Monex has become a major player on the crypto scene in Japan since it entered the ecosystem in 2017. It operates the Coincheck exchange house in Japan, as well as the online goods, cryptocurrency and equity trading platform, TradeStation , in United States. It is also one of the main investors in the ErisX trading platform.
The company has previously said that bitcoin is "the most popular cryptocurrency" among its shareholders. A factor that led her to offer its 50,000 shareholders a bitcoin benefit payment at the end of the financial year in March.