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A comment on As German Bund Yields Head to Zero, They Still Beat U.S. Treasuries. Parent comment

Re:As German Bund Yields Head to Zero, They Still Beat U.S. ... by cynusx on Sunday February 10, 2019 @03:55AM (#19126960)
It's deposits in a bank, yes. Many banks charge large deposit holders a negative interest rate.

The alternative of holding it in actual cash, comes with security costs, storage costs,... The negative interest rate is still cheaper then the 1% annual cost of securing banknotes. It also puts an implicit floor on how low the central bank can lower the interest.

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Re:As German Bund Yields Head to Zero, They Still Beat U.S. ... by JumpCrisscross on Sunday February 10, 2019 @05:08AM (#19127150)
> Many banks charge large deposit holders a negative interest rate

Counterparty risk dominates, for most treasurers. You don’t want your billions of corporate deposits in the bank that went bust. Treasuries—or their local equivalent—are a safe way to hold cash.

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