Would you lend money to Italy for 50 years?

06 October 2016

 

Italy has, arguably, Europe’s most at-risk banking system, yet this week the country has pulled off something of a coup. It has managed to issue 50 year government bonds. Never mind that in the past 50 years the country has changed prime ministers more than 30 times, Italy is offering investors the privilege of receiving 2.80% per annum for the next 50 years. The bond sale netted bids of over...

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