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RE: The first earns it, the second enjoys it and the third destroys it

in LeoFinance28 days ago (edited)

Yes that's exactly what I am doing as the interest rate set by the central bank directly affects the rates the banks set.

An equity risk premium relates to the risks of investing in the stock market compred to government bonds or the rates offered by the banks. ie. You are now presenting a case for why you should invest in stocks (equity) rather than simple compounding interest. https://www.investopedia.com/terms/e/equityriskpremium.asp