Smart Investing Newsletter

You may have noticed that the bank stock index is down about 10%, which is more than the S&P 500’s decline of 3% at the beginning of the year.

Financial stress builds in private credit while prediction markets creep onto campuses, global energy policy shifts with a major oil release, and Gen Z surprises retailers by shopping in person.

Since Covid, speculative investments have continued to rise in popularity.

The numbers are exciting when companies like Meta or OpenAI announce they'll be purchasing billions of dollars in chips or compute power from companies like Nvidia or AMD, but there always seems to be a catch.

If you don’t want to read any further, and just want the basic answer, for investors it’s a terrible idea. On the other hand, for companies, universities or even governments, issuing a century bond is a great way to lock in low rates for a hundred years.