Marc Faber : When assets become like cash, it may be safer to hold your money in the bank

Marc Faber : Ten years ago we had relatively low inflation in the Western world. Now, with interest rates at zero, we have high asset valuations. Asset prices have gone ballistic in stamps, modern art, wine, you name it. Gold, silver, other commodities, equities in emerging markets, high-end real estate -- all have done well. When assets become like cash, it may be safer to hold your money in the bank. If asset prices collapse, you'll be better off in Treasury bills with zero yields. Then the central banks will print money and bail you out. At least you'll get your principal back. With money-printing, you never know what sector of the economy will be inflated. Maybe we have had profit inflation and there will be a severe correction. I don't expect corporate profits in the U.S. to collapse by more than 20% in the next 12 months.

Marc Faber : World War III will occur in the next five years

Marc Faber : On another optimistic note, World War III will occur in the next five years. That means the Middle East will blow up. New regimes there will be less Western-friendly. The West has also figured out it can't contain China, which is rising rapidly and will have more military and naval power in Southeast Asia. The only way for the West to contain China is to control the oil tap in the Middle East. - in The Barron's Roundtable 2012

Marc Faber : I am intrigued as a long-term investor

Marc Faber : If someone told me an asset had been in a 12-year bear market that was coming to an end, I would think about buying. Whether the end is tomorrow or in October, I'm intrigued as a long-term investor. - in The Barron's Roundtable 2012

The best time to buy commodities

Marc Faber : "The best time to buy commodities is when markets are glutted."