Latest News from Newealth

12 Oct 2020

Interest Rates: Defensive Asset Fails

Following on from Friday’s fixed term deposit rate update, the situation is just as bad in the United States.

Over the past 200 years, interest rates in the United States peaked at 15.8% in September 1981 and have now fallen to an all-time low of 0.5% in August 2020.

Click for chart.

The US Federal Reserve does not anticipate an interest rate increase until 2023.

Using cash and or fixed term deposit as a defensive asset solution no longer makes any sense.

Need help, find us.


At Newealth we are always looking to support and promote our clients wherever possible and if you have any ideas or comments, please feel free to email me or to call me on +61 2 9267 2322.

Share this post