Banks «earned their way out of debt» by lending to global speculators who used the yen loans to convert into foreign currency and buy higher -
yielding assets abroad — capped by Icelandic government bonds paying 15 %, and pocketing the arbitrage difference.
There is also opportunity
abroad: Non-U.S. stocks with the highest dividend
yields (average price / earnings ratio of 15.8) are cheaper than domestic counterparts (23.1), according to O'Shaughnessy
Asset Management.