Paul Singer is deeply pessimistic on the state of the developed world.
The conservative, cantankerous hedge fund manager thinks economic stimulus in Europe isn't likely to work and that the U.S. political system will remain dysfunctional, even with Republican midterm gains.
"With euro interest rates at record lows, we cannot imagine that the ECB's recently announced QE [quantitative easing] program will improve Europe's serious economic situation," Singer said of the European situation in a private letter to investors. "On the other hand, QE might have unpredictable and large negative repercussions if it triggers a generalized loss of confidence."
ECB refers to the European Central Bank, which is engaged in quantitative easing, or the buying billions of dollars of bonds each month to try to spur regional economies.