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"God is a genius because he is a sloth"

The wit and wisdom of Hugh Hendry

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The whole talk from the London School of Economics

He's been called "the most high-profile Scot" in the hedge fund sector.

He first gained attention when his firm Eclectica Asset Management got a 31.2 per cent positive return during the depths of the 2008 financial meltdown.

Now things are not so good. He's not losing money, but he's not making any either.

Does that make him wrong?

Not in my opinion.

We're employing his strategy which is we have long term option and "option-like" bets on the collapse of various sectors.

If it happens, we'll be doing very well indeed.

If it doesn't, we've lost the cost of our option. Big deal.

Meanwhile, those who are getting leveraged up with the expectation of ever-rising asset prices (and that includes real estate), good luck with that.