This article was originally written under a different title for the H<£>RO© UK alternative investment platform in 2020 ("HERO" or HRO) and will also appear on International Imports Ltd (IIL).
There are various factors which are driving significant numbers of ineligible investors to seek investment returns from high risk alternatives. H<£>RO© Alternative Investment Gateway (high-risk.online) outlines some of these drivers, the resulting market activity and the issues that have arisen.
Bank of England interest rates Historically, rates have always been higher than since the global crash in 2008. Apart from an isolated spell between 2001 and 2006 when they remained between 3.5% and 4.75% there has never been a sustained spell at below 5%. Since 2008 rates have consistently been below 1%. This has never even happened momentarily pre-2008 and certainly not for a sustained period. In March 2020 the Bank of England cut interest rates to an unprecedented 0.1% before the Coronavirus / COVID-19 pandemic. The economic turbulence expected later in 2020 doesn't provide much reason for short-term optimism. In 2020 interest rates are the worst they have ever been since 2008. Investors are statistically experiencing the worst of the worst returns in UK financial market history. Rates hit relative 'rock bottom' over a decade ago and have now collapsed. Investors and savers haven't seen any value for a long time. H<£>RO© (www.high-risk.online) source: Interest rate data from the Bank of England. https://www.bankofengland.co.uk/boeapps/database/Bank-Rate.asp