The three countries with deep vulnerabilities in their bond markets—the UK, France, and the United States—are those that depend disproportionately on foreign ownership of their debt, a condition far more predictive of crisis risk than debt-to-GDP ratios because debt-to-GDP compares a stock to a flow and misses the key vulnerability of whether domestic savings are sufficient to fund government.

causalpending

Speaker

Louis Gave

Evidence Quote

What always matters is the percentage of bonds owned by foreigners. This is a guide of whether domestic savings are enough to essentially keep governments going along.

Source

The Bull Case for China: The Best Opportunity Right Now? | Louis GaveThe Master Investor Podcast with Wilfred Frost
Created: 8/12/2026, 6:22:54 PM

My Notes

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