Friday, March 21, 2025

EU savings account

When people talk about investing in an individual stock, I say they are no longer investing, they are speculating. The stock market has averaged 10% over the past 100 years while the inflation rate has been 3% meaning you can earn a net seven percent. If you invest $1,000 per year at 7% for 40 years you will have $200,000. Many people will not be satisfied with a 7% net return so they will take the additional risk to get a higher return and this brings us to the new plan proposed in Europe to finance their military buildup. They want to use private savings but they will not just take your money as that is too unpopular, so they have come up with a scheme. They are developing a new government savings account where you can invest in defense of your country. They will reduce the regulations to make this account more competitive and they will pay a higher rate of return. As more and more people looking for better returns buy into this investment (speculative) account the union will have funds for military spending.

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