Market Leverage and Financial Risks

Market leverage, prime broker leverage,

hedge fund leverage, ETFs leverage, treasury arbitrage leverage.

I'm double counting some of that.

So market leverage is pretty high.

When you have that, you do have a higher chance

that something will disrupt the market

in a quick way and people get rattled over it.

That is a little high.

When I talk about leverage, margin debt is the highest ever been.

There's a lot of margin debt you don't see because

it's not called margin debt, it's called other things.

So it's that kind of leverage, some hidden, some public.

We see a lot of leverage.

I'm not going to say it's systemic high,

it's going to cause a disaster, but it's high.