Since 2008 our government has been lying about the effects of lower interest rates. And I’m sick of hearing about it.
They’ve constantly said that lower rates will stimulate the economy.
What a bunch of crap.
How have lower interest rates improved your life? What’s the best rate you can get on a CD these days?
Historically, most seniors depend on their savings to earn money for them. How’s that been working out for the last 8-9 years?
Look, the criminals that make these policies actually think their decisions are going to work. Not only have these policies failed miserably but they’ve made things worse.
The stupidity of their logic is mind-boggling.
Their solution to every crisis creates the next crisis.
In the case of lowering interest rates, they’ve under-minded every pension fund in America and set the stage for Government pensions to fail.
Let me explain.
Most pensions need a 7-8% return to stay properly funded.
Let that sink in for a moment.
After the crash in 2008, most fund managers sold at, or near the low, taking huge losses. Since then they’ve tried to play catch-up. But where can they get the 7-8% return?
If you guessed the “junk bond” market, you’re close.
The point is lower interest rates have forced most pensions into taking more risk.
That’s not a formula for success.
The main benefactors of low rates have been the banks and major corporations. And they’ve taken advantage of it by borrowing hundreds of billions at the lowest rates in history.
The banks are making a fortune and, as usual, the little guy is getting screwed.
Don’t miss the April issue of Simplifying Wall Street in Plain English where we show you how to defend yourself against the inevitable rise in interest rates.
Get exclusive access (HERE)
You’ll thank us later.