Wisdoms

Bulls can't stand low rates

John Bull can stand many things, but he can't stand 2%

"People won't take 2% - they won't bear a loss of income"

What This Quote Really Means
  • When rates are low, investors tend to seek out riskier options that offer higher returns
  • Investors¬† don't like investing their money in investments with lower returns
  • Often what they end up investing in projects that are risky at best or even outright scams/frauds/dreams
  • Some argue that this risky behavior eventually causes bubbles and panics¬†