“In an unprecedented event, the yield on Nestle’s corporate debt went negative this week. That means investors are essentially willing to pay for the right to park their cash in the safety of the Swiss chocolate company. The bonds might as well come with a note saying: ‘In Nestle we trust.’ All of this is a sign of the unusual times we all live in thanks to never-seen-before central bank policy. After all, normally bond investors are paid to provide financing, not the other way around. So what’s sparking this latest fad in finance? Central bankers around the world are experimenting with new recipes aimed at jump starting sluggish economies.”
http://money.cnn.com/2015/02/05/investing/nestle-corporate-bonds-negative-rates/
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