With the coronavirus pandemic showing no signs of waning, both governments and central banks are faced with an ever increasing prospect of an economic meltdown and with rising unemployment and financial hardship for the many, it is rumoured the BOE is seriously contemplating negative interest rates. If you thought savers had suffered enough financial pain as interest rates have plunged, they may now face the prospect of banks charging simply for looking after their cash. The reality now facing investors is fraught with danger, with many asset classes including commercial property, low bond yields and little or no return on bank deposits leaving only equity-based investments with all their inherent volatility as the only alternative.

Written by: Nick Kesley.