Mandatory Retirement Accounts to Bail Out the 10 Year Treasury?

Check out this before you read the next and understand the risk to retirement accounts. The tsunami crests on the horizon....

The Most Important Number In The Entire U.S. Economy | Zero Hedge
There is one vitally important number that everyone needs to be watching right now, and it doesn't have anything to do with unemployment, inflation or housing. If this number gets too high, it will collapse the entire U.S. financial system. The number that I am talking about is the yield on 10 year U.S. Treasuries.
When that number goes up, long-term interest rates all across the financial system start increasing. When long-term interest rates rise, it becomes more expensive for the federal government to borrow money, it becomes more expensive for state and local governments to borrow money, existing bonds lose value and bond investors lose a lot of money, mortgage rates go up and monthly payments on new mortgages rise, and interest rates throughout the entire economy go up and this causes economic activity to slow down.
On top of everything else, there are more than 440 trillion dollars worth of interest rate derivatives sitting out there, and rapidly rising interest rates could cause that gigantic time bomb to go off and implode our entire financial system. We are living in the midst of the greatest debt bubble in the history of the world, and the only way that the game can continue is for interest rates to stay super low. Unfortunately, the yield on 10 year U.S. Treasuries has started to rise, and many experts are projecting that it is going to continue to rise.



Mandatory Retirement Accounts? | Smaulgld

If the Federal Reserve were to taper or stop its bond purchases, the U.S. government would see an increase in its cost of borrowing as rates would rise. Simultaneously, the tapering or cessation of bond purchases could cause the stock and real estate markets to crash.
At that point there would be disarray. The much touted wealth effect would be gone as people’s stock and real estate equity would be gone as well as any retirement savings held in 401K’s and IRA’s and the U.S. government would be short a major source of funding.
A possible solution? A Bail In! U.S. citizens who have approximately $9 trillion in IRAs and 401K plans would be required to hold U.S. treasuries in those retirement accounts.
Its been calculated that each citizen’s portion of the U.S. is about $50,000.
The U.S.Government could using such a calculation to argue (or issue an executive order), you owe it and it is patriotic to help out and pay your fair share.
The U.S. government could easily point to the volatility of the stock market as being a poor retirement investment vehicle and that U.S.Treasuries would provide the right type of security for a safe retirement portfolio.
Problem/crisis solved: US citizens become the new buyer of last resort of U.S. Treasuries.
 

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