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Mr Beckworth raises an interesting objection, however:There are no truly safe assets, only ones with varying degrees of safeness.
Inside Safe Assets.
Picking safe assets lowers returns.
What Makes U.S. Government Bonds Safe Assets?
There is now extra demand for safe assets.
"Mortgages were traditionally seen as very safe assets.
It focuses on safe assets, mainly long-term government bonds.
At some point, the demand for safe assets may weaken.
In other words, investors worry about inflation risks too when looking for safe assets.
Finally, the hunger for safe assets may have elevated demand for Treasuries.That is potentially worrying.
There has also been a major flight into perceived safe assets such as gold.
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