Singapore-based financial blog that aims to educate people on personal finance, investments, retirement and their Central Provident Fund (CPF) matters.

Wednesday, 16 September 2015

Rate Hike = 9.5% Return

The 2-day Fed meeting is beginning today, with its focus on whether the Fed will raise interest rates or not!

S&P500 Statistical Investment Opportunity
STI 3rd Year Investment Trend
Singapore Finance Minister on Personal Finance

While the markets are reacting negatively to the potential interest rates raise, believing that it will cause markets to drop; the reality is markets actually do better when interest rates go up!

This is statistics from CNBC:

From the article, we can see that after every rate hike
1) Markets are usually up for the next 30 months
2) Markets are up 9.5% a year after the rate hike

So keep a look out for those interest rates!
A hike might be a buying opportunity! - Especially if it brings with it a short-term drop of several percentage points!

Remember to offer your opinions. If you don't put your two cents in, how can you expect to get change?

Have a feedback? Tell us now! 

Subscribe to us or 
Follow us: Investment Stab on Facebook
Share this :


Post a Comment