The Death of Bonds in a Negative Interest Rate World
SEP 8, 201957 MIN
The Death of Bonds in a Negative Interest Rate World
SEP 8, 201957 MIN
Description
<p><b>If what Alan Greenspan says is true, we are heading into a whole new uncharted world of financial planning and asset allocation.</b> In this episode hear Alan Greenspan in Sept of 2019 declare:<br/>1.) The US GDP is driven by the US Stock Market! (The OPPOSITE of how it has ever been).<br/>2.) Negative Interest Rates WILL COME to the U.S. It's only a matter of time!<br/><br/><b>This changes absolutely everything for retired investors and savers. It means</b>:</p><ul><li><b>Asset Allocation is gone! </b>The component of Safety (bonds and bond funds) are going to earn so little they will be irrelevant to a portfolio. You will have to PAY for safety.</li><li><b>The only place to be will be RISK-ON!</b> But the very reason we are heading into low interest rates is to prop up a sagging market, which now has the very power to change the health of the US Economy by it's volatile swings.</li><li>Every retired person, no longer working, will have lackluster portfolios unless they are willing to live their retirement on the precipice of Risk.</li></ul><p>In this episode Bruce discusses alternatives to bonds that can bring balance back to retirees portfolios when bonds and bond funds become impotent.</p>