The Importance of Interest Rates in the Investment Environment

Zerp zero interest rate policy had just so many terrible effects on the investment environment here in the United States. One is simply default risk with all of those those higher yields that comes along with the higher default chance. But now you also have interest rate risk, which reared its ugly head most recently in March when we had Svb collapse signature bank and a few other regionals. The Federal Reserve literally bailing out institutions, mostly hedge funds to the tune of half a trillion dollars in the fall of 2019.