Tag Archives: Negative Interest Rate Policies


Cumberland Advisors Guest Commentary – Gold & NIRP

Author: David R. Kotok, Post Date: June 26, 2019
Market Commentary - Cumberland Advisors - Gold

Peter Boockvar, a Camp K fisherman and a super-sharp analyst, sent the note and chart below. We thank him for giving us permission to share his note below. It is logical that gold would outperform $14 trillion of negative-interest-rate sovereign debt issued by creditworthy governments like Germany and Switzerland. Remember: Gold counts as a monetary […]

Cash, NIRP & Bonds Part-3

Author: David Kotok, Post Date: August 18, 2016

On July 29 we published a long piece entitled “Cash, NIRP & Bonds” (https://www.cumber.com/cash-nirp-bonds/). We published Part-2 on this past Monday. See https://www.cumber.com/cash-nirp-bonds-part-2/. Having talked about cash, let’s now add negative rates to the calculus an investor must perform. With a positive rate, we can compute the sensitivity of a bond’s price to a change […]

Cash, NIRP & Bonds—Part 2

Author: David Kotok, Post Date: August 15, 2016

On July 29 we published a long piece entitled “Cash, NIRP & Bonds” (https://www.cumber.com/cash-nirp-bonds/). Now we see a German bank succumbing to pressure and starting to charge its customers a pass-through of the negative interest rate that the commercial bank is paying to the central bank. In the eurozone, the lowest negative rate is minus […]


Author: David Kotok, Post Date: February 16, 2016

The New York Times headline read “Negative 0.5% Interest Rate: Why People Are Paying to Save.” Here is the link to a story that gives some perspective on this issue of negative rates. My colleague, Chicago-based Bob Malvenda, notes that the hundreds of comments on the NY Times piece are instructive, revealing understandings and misunderstandings […]


Author: David Kotok, Post Date: March 10, 2015

We will soon travel to Paris for Global Interdependence Center’s “New Policies for the Post Crisis Era” conference. The conference and accompanying activities are being held at the Banque de France on March 23, and the GIC delegate’s roundtable will be held at Bistro de la Muette on March 24, 2015. Any readers who can […]