We’re headed to $100 trillion in negative rate sovereign bonds (up from current $13 trillion). This means governments are defaulting on $100 trillion in debt. For the glitterati, Illuminati, and digerati, this is the crisis they’ll never see coming and will never understand.
-
-
Replying to @maxkeiser
FYI paying negative interest rates is not default. The investor contractually agrees to it.
3 replies 1 retweet 4 likes -
Replying to @AshleyLannquist @maxkeiser
So you are claiming that pension beneficiaries knowingly agreed that the funds they are relying on should pay rather than receive interest?
2 replies 1 retweet 13 likes -
Replying to @NickSzabo4 @maxkeiser
Negative rate sovereign bonds are typically extremely low risk (e.g. Switzerland). They reduce risk in the overall portfolio, which also includes high risk and return assets. Net, the pension portfolio still delivers positive returns.
3 replies 0 retweets 5 likes -
Anyways, portfolio holdings aren’t a secret - pension beneficiaries can always scrutinize them :)
3 replies 0 retweets 2 likes -
Replying to @AshleyLannquist @maxkeiser
Some other things also create risk. For example, changing things that people saving for their pensions didn't in their wildest dreams expect to be changed.
1 reply 0 retweets 3 likes
P.S. while we're at it let's load up pension funds with these sovereign bonds which were also probably called "extremely low risk" or "risk-free" when they were soldpic.twitter.com/0AXPRoskYG
Loading seems to be taking a while.
Twitter may be over capacity or experiencing a momentary hiccup. Try again or visit Twitter Status for more information.