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I’ve been waiting for the Fed to raise interest rates for awhile now, but you say they’re not going to raise rates by any more than a marginal amount. Why is this and what can I invest in instead?

They just can’t. Raising interest rates means raising their interest rate payments. They implemented a zero interest rate policy (ZERP) because they can’t afford this additional burden. Raising rates back to historical norms of 5% would occupy a third of the U.S. budget — about $1 trillion. Raising them even 1% is an annual expenditure of $176 million, and they’re talking about getting rates back to 2% by the end of 2015. When you look at this in conjunction with our national debt — $17.6 trillion, and about $130 trillion in unfunded liabilities and future payments — suddenly the idea of raising rates by any significant degree seems not only impractical, but impossible. There are still opportunities to generate income — particularly through owning dividend-paying stocks and a strategy known as put selling — which one of our editors, Chad Shoop, reveals in his service Pure Income.



I am up $20,070 in closed positions from Feb. 18 through March 7.

- Bob Rowe

I started your system in December … I am ahead $29,000 … I put total faith in you and your system and it has worked for me very nicely. Thanks again I sure like your humble approach about this whole thing

- Dale Leiffer

I have made a little over $4,000 while being cautious.

- Chuck Goss