Re:Launch HN: InstaKin (YC S21) - Help immigrants to manage ...
by anovikov on Wednesday July 28, 2021 @02:13AM
(#27980720)
Well, it is natural because those countries have a lot higher risk profile. Meaning, their stocks could make 2-3 extra percents per year but this is the price of risk of something really bad when they go to zero, say Taliban takeover, or Communist revolution, or a hot war with India...
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Re:Launch HN: InstaKin (YC S21) - Help immigrants to manage ...
by H8crilA on Wednesday July 28, 2021 @05:01PM
(#27989663)
And yet it's the US that has >5% inflation rate and the long bond around 1%. Every country can become a banana republic, you know.
Also, I agree with the consensus on the risk level ordering, but it's not just the risk, it's the reward too. High priced securities offer no (or even negative) reward in the optimistic outcome scenario.