British fund manager urges to hold physical cash
The British chief executive, who disposes of billions of pounds, has warned of surging mortgage debt and advised investors to keep physical cash.
Ian Spreadbury, who is in charge of a British bond fund is concerned that a "systemic event" could rock markets, possibly similar in magnitude to the financial crisis of 2008, which began in Britain with a run on Northern Rock.
"Systemic risk is in the system and as an investor you have to be aware of that," he claimed.
The best strategy to deal with this, he said, was for investors to spread their money widely into different assets, including gold and silver, as well as cash in savings accounts. But he went further, suggesting it was wise to hold some "physical cash", an unusual suggestion from a mainstream fund manager.
Spreadbury also urged that the Financial Services Compensation Scheme is effectively unfunded and a saver is covered up only to £85,000 per bank.
Ian Spreadbury invests more than £4bn of investors' money across a handful of bond funds for Fidelity, including the flagship Moneybuilder Income fund.
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