When Investors Are Spoiled

I’ve got to admit that I don’t get the complaint about the lack of availability of &147;safe” assets. Or maybe I think that those complaining are being very short-sighted and deeming what was an aberration as the norm. It seems to me that the availability of “safe” assets is one of the factors that has lead to the decline in entrepeneurship that is apparent over the last couple of decades, increasing concentration of wealth in the financial sector, and increasing income inequality.

2 comments… add one
  • I think part of it because there are hundreds of billions, if not trillions, of dollars tied up in pension and retirement savings and they are often required to both earn a decent return and keep the principal safe.

  • I think part of it because there are hundreds of billions, if not trillions, of dollars tied up in pension and retirement savings and they are often required to both earn a decent return and keep the principal safe.

    My IRA is currently earning .55%. I think that strains the definition of “decent” a bit.

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