RE: Old rules23 Jun 2020 15:20
There isn't a country on earth that hasn't got debts. Counties just tend to pay off the interest and roll them over, when it comes to sovereign debt. Hence the multi-trillion government debt on the books of pension funds and the like, which are considered an 'asset'. Without zero or negative interest rates, governments can't survive, and neigher can pension funds without a good rate of return. Some analysts are saying that the ECB will shift to perpetual bonds without defaulting, which means bond holders will lose out and take fright. It doesn't matter, because the ECB has bought all the new debt anyway over the last few years. At least corporate debt pays an attractive rate of return.