China’s economy continues to struggle even after the measures taken by People’s Bank of China to flood local banks with money. Speaking at an economic meeting held in Sri Lanka billionaire investor George Soros warned investors to be vigilant of the economic crisis facing global markets. This warning comes as measures of volatility like Chicago Board Options Exchange, Nikkei Stock Average Volatility Index and Merrill Lynch index rise up to 13 percent, 43 percent, and 5.7 percent respectively. This is attributed to the crisis facing China as it struggles to find a foothold of its depreciating currency.
China’s economy is shifting from manufacturing and investing to a service and consumer one, this is all transferring effects to other currencies and stock markets. This year alone equities throughout the world lost $2.5 trillion with Chinese stocks trade closing on Thursday for the rest of the day. George Soros noted that the adjustment problems in China remind him of the 2008 crisis. This wasn’t the first time Soros warned of a crisis similar to that of 2008.
George Soros was born in Budapest in the year 1930 and later fled communist regime in the year 1947 for England. He joined London School of Economics and later after graduating he moved to U.S., where he began his career in New York. Soros became famous for his investing skills particularly in the year 1992 where he gained $1 billion after betting that U.K. would be forced to lower the value of the pound. He’s also a best-selling author of fifteen books that shed light on business and investments.
His hedge-fund firm has gained an average of 20 percent per annum from the year 1969 to 2011. According to Bloomberg Billionaires Index, Soros has a net worth of approximately $27.3 billion. He once wrote that he attributes his independence and courage to take a stand during controversial issues to his success in financial markets.
He is the founder of Open Society Foundation an organization that aims at creating a society where all human rights are respected, the government is accountable to its citizens, and no one has control over the truth. He began his philanthropy in 1979 when he offered scholarships to marginalized black students in South Africa during the Apartheid era. He also created Central European University after the fall of Berlin wall as a move to promote creative thinking. These are just, but a few of the philanthropic acts of Solos for more information on his activities click here.