Code Red
How to Protect Your Savings From the Coming Crisis

Wall Street Journal Bestseller

Valuable insights on monetary policies, their impact on your financial future, and how to protect against them

Written by the New York Times bestselling author team of John Mauldin and Jonathan Tepper, Code Red spills the beans on the central banks in the U.S., U.K., E.U., and Japan and how they've rigged the game against the average saver and investor. More importantly, it shows you how to protect your hard-earned cash from the bankers' disastrous monetary policies and how to come out a winner in the irresponsible game of chicken they're playing with the global financial system.

From quantitative easing to zero interest rate policies, ZIRP to the impending currency wars, runaway inflation to GDP targeting, authors Mauldin and Tepper achieve the impossible by not only explaining global monetary policy and its consequences in plain English, but also making it compelling reading.

• Outlines time-tested strategies for surviving and thriving in these tumultuous times
• Addresses how issues such as quantitative easing, financial repression, currency wars, bubble economies, and inflation impact our everyday lives as well as our financial future
• Written by a team of bestselling authors and experts in this dynamic field

How did we get here and where are we headed? What can you do to insulate yourself against, and profit from, economic upheaval and secure your financial future? Find out in Code Red.

Acknowledgments ix

Introduction: Code Red 1

Part I 11

Chapter One: The Great Experiment 13

Chapter Two: Twentieth-Century Currency Wars: The Barbarous Relic and Bretton Woods 33

Chapter Three: The Japanese Tsunami: Starting a Currency War 57

Chapter Four: A World of Financial Repression 91

Chapter Five: Arsonists Running the Fire Brigade 117

Chapter Six: Economists Are Clueless 133

Chapter Seven: Escape Velocity 171

Chapter Eight: What Will Happen When It All Goes Wrong 201

Chapter Nine: Easy Money Will Lead to Bubbles and How to Profit from Them 221

Part II: Managing Your Money 251

Chapter Ten: Protection through Diversification 253

Chapter Eleven: How to Protect Yourself against Inflation 271

Chapter Twelve: A Look at Commodities, Gold, and Other Real Assets 301

Conclusion 319

Afterword 325

Notes 341

About the Authors 343

Index 345

JOHN MAULDIN is Chairman of Mauldin Economics (www.MauldinEconomics.com), an economic and investment strategy research firm, and President of Millennium Wave Investments, a U.S. registered investment advisor and FINRA registered broker-dealer. John is a renowned financial expert, a New York Times bestselling author, a pioneering online commentator, and the publisher of Thoughts from the Frontline, one of the first publications to provide investors with free, unbiased information and guidance and one of the most widely read investment newsletters in the world. Each week a million readers turn to John Mauldin to gain a better understanding of Wall Street, global markets, and the drivers of the world economy. John is a regular contributor to several financial publications and is a frequent guest on CNBC, Bloomberg TV, and Yahoo's Daily Ticker. He is a keynote speaker at conferences around the world. John is the father of seven children (five adopted) and lives in a high rise in Dallas, Texas.

JONATHAN TEPPER is the Chief Investment Officer of Prevatt Capital. He is the founder of Variant Perception. Formerly, he was an analyst at SAC Capital and a Vice President on the proprietary trading desk at Bank of America. Jonathan is the author of Endgame, Code Red, and The Myth of Capitalism: Monopolies and the Death of Competition. He is a Rhodes Scholar and graduated with highest honors in history and honors in economics from the University of North Carolina at Chapel Hill and has an MLitt in modern history from the University of Oxford.