Yes – It Is Still Possible to Get High Interest Rates on Your Savings

In 2007 it would have been inconceivable for anyone to imagine that savers would receive virtually zero percent return on their money.  The entire concept of wealth creation is built not only upon savings but upon the magic of compound interest whereby your money works for you by earning more money. It wasn’t that long […]

Whatever Happened to Money Market Fund Rates? The New World of Zero Return and High Risk

Here’s an interesting tidbit from Merrill Lynch on the various money market funds that investors can sweep excess cash into.  The yields are enough to bring retired investors trying to live off of yield to tears. It’s hard to believe looking back that a mere five years ago, prior to the financial meltdown, savers could […]

Bernanke Tells Retirees and Savers “To Take One For The Team” – Interest Rates To Remain At Zero

Federal Reserve Chairman Ben Bernanke presented to Congress today the semiannual Monetary Policy Report which discusses current economic conditions, monetary policy and thoughts on fiscal policy. Mr. Bernanke vigorously defended the Federal Reserve’s zero interest rate policy stating that the benefits of  an easy money policy outweigh the “potential costs of the increased risk-taking in […]

Banks Were The Worst Place To Keep Your Savings This Year

Federal Reserve Chairman Ben Bernanke warned us repeatedly that he would repress interest rates indefinitely in order to help the economy and the housing market.  Interest rates on government treasury securities have reached all time lows and bank depositors are receiving close to a zero return on their savings.  Meanwhile, both housing and the economy […]

Banks Are A Financial Disaster For Both Shareholders And Depositors

In days gone by, shareholders of large banks viewed their investments as a source of income via dividends and potential capital gains via share appreciation.  In days gone by, depositors viewed banks as the safest place to harbor their hard earned dollars while earning a respectable amount of interest income. That was then, this is […]