The Mid Atlantic Fund

Coping with low rates, rising inflation, and The Savers Dilemma

The Best Savers Dilemma

The 1st vision of our investment offering from the begin was to present a solution to what we call “The Savers Dilemma“. The Best Savers Dilemma is a result of decades long governmental policy’s designed to discourage savings as a way of encouraging spending and borrowing. The thought being that more spending tends to prop up economic indicators in the short term by increasing a metric called the Velocity of Money (more on this below).

By manipulating short and long term interest rates the policy makers keep the interest income that savers earn on things like savings accounts, money market accounts, CDs, and even Treasury Notes/Bonds below the rate of inflation. This makes virtually all of the interest bearing products available to the general public guaranteed losers.  In fact it may be the only guaranteed loss in the investment world. To a great extent their plan is working. So is it any wonder that nearly 70% of American adults have less than $1000 in savings

Federal Funds Rate – 62 Year Historical Chart

fed funds rate historical chart 2022 01 20 macrotrends 1

However, for those that know better and are frustrated with this situation we have developed a solution to The Savers Dilemma.  Warren Buffet said ‘Compound interest is the 8th wonder of the world” and that anyone can become very wealthy using it. The keys, he said, is to “start early and stick with it”  By investing in the Mid Atlantic Secured Income Fund you will earn up to 8.5% APY on your savings and significantly out pace even the most aggressive inflation projections. At this rate your invested money would double every 8 to 9 years! This means a 500k investment at the age of 30 would turn into 4 million at age 64!!

Want an easy retirement plan? Here you go!