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Inflation will accelerate in the coming months.

That’s the investment thesis of Hugh Hendry, the legendary Founder and CIO of Eclectica Asset Management LLP. Hendry is widely known as one of the most original thinkers in finance.

Hendry rose to fame by nailing a series of bets leading up to the great financial crisis of 2008. His fund generated 50% returns in October 2008 alone, during a time when the vast majority of investors were losing large sums of money.

Hendry recently sat down with Raoul Pal, co-founder of Real Vision TV, to share his unique thoughts on the state of the markets today.

“My book is a reflation book,” Hendry says. “And my portfolio today is clean, simple, and kind of punchy. I have essentially four positions. I have a big position where I'm long dollar-yen. Long dollar, short yen, which really takes me into that world of talking about 10 year treasuries, talking about yield curves, because they've all come together with Japan pursuing its policy of targeting zero 10 year yields.”

Hendry elaborates on his current portfolio in the video below. You’ll hear his thoughts on U.S. Treasuries… plus the fascinating story of his fund’s recent “asymmetric bet” that was structured to profit regardless of the outcome. See above, or Click here to watch.