Saturday, January 28, 2017

“Too many uncertainties”: a mini-interest rates will remain for a long time – NEWS


Saturday, 28. January 2017

has cemented The ECB, the low Interest rates in Europe. That is not likely to change so rapidly. Hard times for savers – but there are ways out, says the banking house Metzler. In addition, the Board of management is developing well.

The Frankfurt banker Emmerich Müller is not attributed to foresee a turnaround in interest rates in Europe. “We have to adjust to the fact that real interest rates will still be negative,” said the for the operational business Partner responsible for the 1674 based Metzler Bank. “We have to do it with a load distribution to the detriment of savers and investors.”

Bank (ECB) The European Central since the recent financial crisis of 2007/2008 in crisis mode – and not so far from when you locks is close to their extremely wide open Money again. Many economists interpreted the recent decision of the Central Bank to put in, starting in April, only 60 billion instead of 80 billion euros in government bonds and other securities, but at least as a first Signal for a slow return to normality.

Müller says: “It is premature, on an exit of the ECB from its ultra-loose monetary policy. Too many political uncertainties lie ahead of us.” The new US President, Donald Trump still leaves open many questions, the time plan for the UK to exit the EU (Brexit) could falter after the government in London must now obtain the consent of the Parliament. In the elections in the Netherlands, France and Germany, the fear of emerging populists is large. “We are dealing with a Situation of high political uncertainty – for the first time in a long time”, said Müller.

“could It be that we will see at the longer end – to ten-year bonds in Europe and slightly rising nominal interest rates. But that doesn’t change the fact that the interest rate, the credit debtor to pay is lower than Inflation,” said the banker. For savers valid: “A higher percentage of shares is in the long term, recommended to the creeping devaluation of the nominal assets in order to counteract, even if you have to, of course, expect the political uncertainty in the short-term for increased fluctuations.”

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The increasing demand for advice on retirement savings in times of prevailing low interest rates in the industry. “The Board of management continues to develop very well, because we still see strong growth potential,” said Müller. Overall, the banking house Metzler is with the past financial year, satisfied: “We continue to grow organically.”

Müller added: “We have built in the past two years, about 100 people across all areas and are now with a staff strength of over 800. This is also an expression of our optimism in a difficult environment.” For 2015, the Institute had paid, despite a slight drop in profits, to 2.43 (previous year: 2,53) million euros the usual 2.3 million Euro dividend to the owners. The balance sheet template for 2016 is scheduled for may.




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