Comment by Dylan16807
3 days ago
I guess. But you can fix the slow drain of inflation by using long-term treasury bonds instead of actual cash. That's pretty much a dollar and doesn't do badly.
3 days ago
I guess. But you can fix the slow drain of inflation by using long-term treasury bonds instead of actual cash. That's pretty much a dollar and doesn't do badly.
Long-term treasury bonds are fairly volatile. That's how Silicon Valley Bank went under: their long-term bond holdings dropped in value enough to make them insolvent.
They can swing a few percent. So can gold. Either one could make a bank insolvent. In the long term treasury bonds are not volatile, especially if you hold them to maturity.
What does holding to maturity have to do with their current value?
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