I can't find the thread where ltlee provides a 10% return on a 20 year
fixed deposit. I said that it sounded highly improbable and very
risky. Someone in the financial field (below) gives a more realistic
under 4% for a 10 year bond. Its highly unlikely any bank or
financial institution will better that by even 1 %. In fact due to
the volaitlity of interest rates a bank will give you their best rate
for short term 6 month or 1 year deposits. They will offer less
favorable rates for longer terms.
In phony-baloney money we trust?
http://www.atimes.com/atimes/Global_Economy/JC14Dj01.html
A Ponzi scam is the essence of most bonds these days, in a market
predicated on pure idiocy. With M3 money supply inflating at 17% a
year and 10-year bonds yielding under 4%, buyers are losing purchasing
power at 10% a year to lock in a return of less than 5% a year. Time
to yell out: "Caution; professional money manager at work."
