The reason anyone would buy negative-yielding debt is actually pretty simple: Because they have to. They are central bankers looking to help promote economic growth. They are insurance companies, pension funds and money managers who have to match liabilities with assets.
They are not, by and large, retail investors who are so afraid of risk that they're willing to pay for the privilege of lending money to a government. Together, those buyers have helped build a nearly USD 12 trillion funnel of negative-yielding sovereign debt — unprecedented in world history. Ostensibly, the global race to the bottom was supposed to stimulate growth, and it may just well keep pushing risk assets higher.
But what awaits on the other side is adding to the worries of investing professionals. "Ultimately, there will be a day of reckoning," said Erik Weisman, chief economist at MFS Investment Management. "When that will be remains very much to be seen."
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They are not, by and large, retail investors who are so afraid of risk that they're willing to pay for the privilege of lending money to a government. Together, those buyers have helped build a nearly USD 12 trillion funnel of negative-yielding sovereign debt — unprecedented in world history. Ostensibly, the global race to the bottom was supposed to stimulate growth, and it may just well keep pushing risk assets higher. 
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