DoubleLine’s Jeffrey Gundlach spoke with the FT and said the chance another meltdown in the mortgage market “almost infinitesimal”.

“I think that people who are looking for the catalyst for the next mortgage meltdown are fighting the last war,” he said.

He doesn’t know what the next crisis will be but he’s circling the year 2020 on his calendar because he sees:

  • A wall of high-yield debt that companies will need to refinance
  • Soaring federal government deficits as baby-boomers drain social security and healthcare funds
  • Ageing populations in China and other emerging markets
  • The Federal Reserve’s Treasury holdings maturing

He said that could be the year of QE4.