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Socialist Europe fail: 19 countries have negative interest
Posted on: August 30, 2017 at 10:13:55 CT
RHAYWORTH MU
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I know, most of the lefties are math, investing challenged.
http://www.zerohedge.com/news/2017-08-30/19-european-countries-now-have-negative-interest-rates
Here's the basic deal. You buy a govt bond for $10,000. In these countries, when that bond matures, they will pay you back $9500. (Depending on the rate).
It's a guaranteed loss. The idea is you buy them, expecting your country's crash to be so bad, devalue your money so much, that buying the bond will minimize your risk.
19 countries are telling investors, no reason to expect our economy to improve.
It's seems that European socialism has finally ran out of others people's money.
Edited by RHAYWORTH at 10:14:12 on 08/30/17
http://www.zerohedge.com/news/2017-08-30/19-european-countries-now-have-negative-interest-rates
Here's the basic deal. You buy a govt bond for $10,000. In these countries, when that bond matures, they will pay you back $9500. (Depending on the rate).
It's a guaranteed loss. The idea is you buy them, expecting your country's crash to be so bad, devalue your money so much, that buying the bond will minimize your risk.
19 countries are telling investors, no reason to expect our economy to improve.
It's seems that European socialism has finally ran out of others people's money.
Edited by RHAYWORTH at 10:14:12 on 08/30/17
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Socialist Europe fail: 19 countries have negative interest - RHAYWORTH MU - 8/30 10:13:55
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