“The SNB (Swiss National Bank) loaded up on Big Tech like Apple, Amazon and Microsoft, and rode them to massive profits, which enriched both the Swiss people and the SNB’s stockholders (in another departure, it’s a publicly traded company as well as a central bank). But live by the sword, die by the sword. Turning your central bank into the world’s biggest hedge fund means outsized profits in good times, but potentially serious losses if those aggressive bets go wrong.”
USAGOLD note: There was a time when gold was the centerpiece of the Swiss international banking enterprise. It seems, as Rubino points out, the SNB has departed from its original impeccable standards to mixed results.
Swiss National Bank gold reserve (1975)
Image by Library of the ETH Zurich [CC BY-SA 4.0 (https://creativecommons.org/licenses/by-sa/4.0)]
Repost from 12-11-2018