April Fools Finances

Remember today is April 1 folks

This was written in 2010, I have added a topical addition, but you get the idea. Finances are rarely that funny.

I was going to do a goof ball post about using credit cards being the best place to borrow money, but worried that someone might mistake humor for advice (yes, this has happened more than once in my life (see The Dangers of Advice if you don’t believe me)).

I then started to think about headlines that could have been April Fools entries, but unfortunately they were not):

• Bre-X now bankrupt. Remember this one? There were many pension plans and stoic financial advisers who had their clients in this Junior Mining stock, which cost many folks a lot of money.
• Bernie Maddoff arrested. The name Bernie on Wall Street was synonymous with affluence, influence and respect, however, at the end of it, his investments were no less than a Ponzi scheme and many folks lost their money.
• Financial Guru found dead. Another possible Ponzi scheme in the brewing that I mentioned a long while ago.
• Banks fail due to bad mortgages. Ur, um, this one triggered the mess we were in, but in 2005, no one would have believed that one.
• Nortel declares Bankruptcy. Well folks, I lived through this one and many folks would never have believed this would happen, yet it did!
• Entire economy shut down due to virus, ok, that is not that funny as it is happening right now

What headlines might we see in the future, that we would never believe today, or think they might be an April Fool’s Day prank?

• Canadian dollar outstrips the Euro as the currency of choice for the world.
• U.S. banks bought by Canadian Banks.
• Northwest passage open for business, Churchill Manitoba is new boom town.

Any others?