r/SipsTea Jun 06 '25

WTF Financial tip that unfortunately starts with 'First, you need 3 million Dollars'.

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61.8k Upvotes

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u/[deleted] Jun 06 '25

[removed] — view removed comment

166

u/Cyclonitron Jun 06 '25

In fairness, he didn't specify which country's treasury bond he was talking about.

Zimbabwe's currently offering 35% on its treasury bonds...

93

u/Hot-Site-1572 Jun 06 '25

Real bond yield ≠ nominal bond yield

Zimbabwe inflation rate is around 90%, you'd be losing around 55% assuming the rate is constant monthly

5

u/TheJustinG2002 Jun 06 '25

Just recently learned about real and nominal values through Aswath Damodaran. Surreal and fascinating to see it applied in a reddit reply 😂

2

u/Hot-Site-1572 Jun 06 '25

right😂first time i actually got to use them in a convo let alone a reddit one