[Update: for some incomprehensible reason the embedded video clips below only work on YouTube. Click the image for a link to the YouTube page] Andrew Canter (of Future Growth) makes some strong statements about the “phone and dealer” approach to the South African bond market. When one of the arguments against Andrew’s preferred centralised, electronic…
There is much to recommend in purchasing an annuity at retirement to manage the risks and uncertainty of longevity. It’s well known though that surprisingly few people who have the option to purchase an annuity do so. Richard Thaler presents some of the common perception problems with annuities in this article in the NY Times.…
Prediction: Â Bitcoins will be irrelevant by 2013 and will never emerge from a very small niche market. In fact, they are already irrelevant today. This is what happens when open source supporters, crypto experts and privacy nuts think an understanding of C++ and maths equates to knowledge of economics and monetary systems. Oh, and add…
I heard someone talking on Classic Business tonight. Pity I didn’t catch his name so I can avoid his advice in future. He was saying that he doesn’t see the point in investing in debt instruments. Â He explained that the return is low and the risk high since if the company gets into trouble, you’ll…
Most people are, most of the time, apathetic and a little prone to nervousness about their financial security. Runs on banks occur when there is a loss of confidence in the bank’s ability to return depositors’ money. They don’t happen when a rich ex-footballer tries to whip the population in a frenzy of retribution. They…
I hope Make A Million’s systems are playing up. Â Otherwise some players are losing more money than I ever expected.
Junk Bonds are debt instruments issued by corporates that have relatively low credit ratings. Â They pay interest at high rates as a result. Typically viewed as risky investments, the junk bonds boom of the 80s showed that there is more to junk than just a risky investment. Locally, our pension funds and other retirement savings…
