Suppose you have $1000 in a savings account earning 3% interest a year. After five years, how much would you have?
Imagine that the interest rate on your savings account is 1 percent a year and inflation is 3 percent a year. After one year, would the account buy more than it does today, exactly the same or less than today?
Which asset class experienced the highest average annual returns from 1926-2017?
If interest rates rise, what will typically happen to bond prices?