Opportunities in crisis
“Concrete beats bonds” reads a headline of the German news magazine Focus in August. Fear of inflation has driven many investors to take refuge not only in gold, but also in real estate. The article claimed that investments in “concrete gold” were in most cases clearly more lucrative and more secure than many a government bond. Whereas the broad real estate market in the US is still down, demand in some large German cities is so high that brokers already warn of speculation bubbles.
Debt traps in the US and Europe, three years after the financial crisis, are again leading to global insecurity....
