2 Reasons Why You Shouldn't Worry About Rising Interest Rates, and 2 Reasons Why You Should

Alex Carchidi, The Motley Fool
·5 min read
2 Reasons Why You Shouldn't Worry About Rising Interest Rates, and 2 Reasons Why You Should

With the Federal Reserve announcing on Sept. 21 that it would increase the target for the federal funds rate once again in keeping with its recent campaign to crush inflation, investors everywhere are trying to figure out what rising interest rates mean for their portfolios. The first reason you shouldn't worry about the rising federal funds rate is that it isn't the be-all and end-all for growth in all businesses. Profitable companies can often generate enough free cash flow (FCF) to keep penetrating their markets and making new products without the help of any outside capital.

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