Would you choose an investment that pays you back less than you invested? It seems illogical but it’s happening in many European and Asian countries with their own government bonds. Back in September, when the yield curve was inverted, we shared an article about the details of negative yield investing. Today we are sharing a follow-up video Kevin created to help you better understand what a negative yield investment is and why it should not change the way we invest. In other words, negative yield investing seems crazy, and we don’t have a really clear reason of why it is happening more frequently, BUT it should not spook investors out of markets nor spook you off of your investment path.
Please remember that past performance may not be indicative of future results. Different types of investments involve varying degrees of risk and there can be no assurance that the future performance of any specific investment, investment strategy, or product made reference to directly or indirectly in this video will be profitable, equal any corresponding indicated historical performance level(s), or be suitable for your portfolio. Moreover, you should not assume that any information or any corresponding discussions serves as the receipt of, or as a substitute for, personalized investment advice from Leading Edge Financial Planning personnel. The opinions expressed are those of Leading Edge Financial Planning as of 11/20/2019 and are subject to change at any time due to the changes in market or economic conditions.