15min chapter

The Compound and Friends cover image

The Recession We Deserve

The Compound and Friends

CHAPTER

The Impact of Low Interest Rates on Cash Holdings

In this chapter, the speakers discuss the impact of low interest rates on their cash holdings. They mention that despite having a large amount of cash, they are not inclined to invest it in the stock market unless new all-time highs are reached or until fear drives them to do so. They also mention the irrational behavior of investors who wait for the market to improve before investing, only to miss out on potential gains.

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