6 ms·
Postage rate increases are capped to inflation, though. So they don't really appreciate. But it wouldn't ever lose value and could inject some cash into the US
by hhfy5332 6y ago
Postage rate increases are capped to inflation, though. So they don't really appreciate.
But it wouldn't ever lose value and could inject some cash into the USPS.
- dmurray 6y agoThey likely have a better implied return than Treasuries and many corporate bonds though, and people invest trillions of dollars in those. Risk-free investments that beat inflation aren't easy to find. There are some issues with postage stamps as an investment, though. They're not as liquid as T-bills, though if they become a popular investment that problem solves itself. More worrying is that the USPS is not quite as reliable a borrower as the US federal government - can you really be certain this would never lose value? I'd like to see where the bond ratings agencies would rate USPS stamps.