Negative Interest Rates: 20 Things You Might Not Have Thought About…Just Yet

Negative interest rates have split the world’s central banks into camps: the believers, agnostics, and atheists. This lack of consensus has itself  become an untenable risk. Deploying negative interest rates as a  strategy  will likely result in unintended consequences and new types of financial co-morbidities.  The financial, social and political risks are  both sizable and poorly understood.

Perhaps the most compelling reason for central bankers to implement NIRP strategies is there are no other tools left in the monetary toolbox.  And that’s not a very good reason.  But as Samuel Johnson said, “Nothing focuses the mind like a hanging.”

Follow our ongoing series, “The Real Risks of Negative Interest Rates, Unintended Consequences, and Financial Co-morbidities” at www.negativeinterestrates.com.

Topics will include:

  1. Negative interest rates, cap rates, multiples, net present value and IRRs
  2. Negative interest rates, the fed funds rate and the 10 year
  3. Negative interest rates and the coercive nature of maturity extension
  4. Negative interest rates and  asset class reallocations
  5. Negative interest rates and refinancing and rollover risk
  6. Negative interest rates and actuarial assumptions
  7. Negative interest rates and IRAs
  8. Negative interest rates and the yield curve
  9. Negative interest rates and credit spreads
  10. Negative interest rates and hedging
  11. Negative interest rates and market illiquidity
  12. Negative interest rates and mark-to-market
  13. Negative interest rates and mortgage securities
  14. Negative interest rates and the rating agencies
  15. Negative interest rates and the regulators
  16. Negative interest rates and multi-legged interest rate/currency swaps
  17. Negative interest rates and consumer and investor expectations
  18. Negative interest rates and the carry trade trade
  19. Negative interest rates and credit default swaps
  20. Negative interest rates and currency risk

Join us!

Leave a Comment

Your email address will not be published. Required fields are marked *