{"id":8277,"date":"2020-08-21T08:00:00","date_gmt":"2020-08-21T08:00:00","guid":{"rendered":"https:\/\/savingsforfreedom.com\/?p=8277"},"modified":"2020-08-21T16:56:44","modified_gmt":"2020-08-21T16:56:44","slug":"are-you-ready-for-a-debt-market-bubble","status":"publish","type":"post","link":"https:\/\/savingsforfreedom.com\/blog\/2020\/08\/21\/are-you-ready-for-a-debt-market-bubble\/","title":{"rendered":"Are you Ready for a Debt Market Bubble?"},"content":{"rendered":"\n

We are living extraordinary times. Central banks are printing billions of digital and paper money and everyone is buying stocks, bonds, P2P loans, crypto, gold and enjoying the wild ride… the only problem is that the numbers don’t answer anymore to reality. We are funding companies that should go down, financing projects and individuals that are bankrupt or simple frauds… <\/em><\/em><\/p>\n\n\n\n


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\"N26<\/a><\/figure><\/div>\n\n\n\n

We are Living Extraordinary Times<\/h2>\n\n\n\n

I would never imagine living in such extraordinary time for those that know history and understand market cycles. The last 10 years were a fantastic run for anyone investing in the stock market, but looking to the fundamentals, the numbers don’t match reality anymore. Nations, companies and individuals have rigged conditions to access the debt market and business and personal finance models that in normal circumstances would be unsustainable, are able to survive by issuing new debt to pay off existing liabilities in this cheap money era. <\/p>\n\n\n\n<\/a>\n\n\n\n

Investors Prone to Risk Taking are Winning<\/h2>\n\n\n\n

In the past few months, thousands of new investors flooded the stock market and are outperforming it while the \u201csmart money\u201d loses their investments on bearish bets. It makes you think: why have an investing process when you can buy a bankrupt company and make 100%, or buy a junk bond and make 40%? And all in a day\u2019s work. Why even consider investments with stable fundamentals anymore? Government bonds or defensive stocks are boring. It\u2019s time to speculate instead. What could possibly go wrong?<\/p>\n\n\n\n<\/a>\n\n\n\n

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A P2P Lending Risk Assessment<\/h2>\n\n\n\n

In a world of zero percent interest rates, P2P lending can look mighty tempting for yield hungry investors. But the problems with P2P lending<\/a><\/strong> are obvious when compared with stock market assets in these crazy times:<\/p>\n\n\n\n