"The manager of one of Britain's biggest bond funds has urged investors to keep cash under the mattress. Ian Spreadbury, who invests more than £4bn of investors' money across a handful of bond funds for Fidelity, is concerned that a 'systemic event' could rock markets, possibly similar in magnitude to the financial crisis of 2008..."The best strategy to deal with this, he said, was for investors to spread their money widely into different assets, including gold and silver, as well as cash in savings accounts. But he went further, suggesting it was wise to hold some 'physical cash', an unusual suggestion from a mainstream fund manager."
"My partner knew someone who was managing money," a friend recently told me, describing how he got rich."So we decided to put our money with him. I had never heard of him. But his name was Warren Buffett."
- Falling bond yields and rising credit have affected almost everyone and everything in the economy ever since;
- Falling bond yields mean borrowing costs come down throughout the entire economy;
- As it becomes cheaper to borrow, people refinance old debt and borrow more. They buy consumer goods.