Zero & Negative Interest Rates: Killing Retirement As We Know It

Virtually no one — including central banks — understand the ramifications of negative interest rates. But they're here, in several parts of the world, and may be coming to the U.S.

Virtually no one — including central banks — understand the ramifications of negative interest rates. But they're here, in several parts of the world, and may be coming to the U.S. as well. I encourage you to read my friend John Mauldin's insightful piece on this largely uncharted territory. -- RDM

Zero & Negative Interest Rates: Killing Retirement As We Know It

by John Mauldin
April 15, 2016

“Baby boomers who are counting on the stock market are in trouble.”
– Robert Kiyosaki

“Pension and health care costs for our employees are going to bankrupt this city.”
– Michael Bloomberg

Over the last 150 years or so, numerous innovations have radically changed the way people live. You can tick off the list: electricity, the automobile, refrigeration, television, the Internet. Yet one innovation rarely makes those lists, even though it is just as significant if not more so: retirement.

The idea that people can stop working in their fifties or sixties and then enjoy 20+ years of relative leisure is actua…