no more 'absolutely safe investments'

No more 'absolutely safe investments': Munich Re chief

BERLIN - In an interview with a german newspaper, sueddeutsche zeitung, mr nikolaus von bomhard, the head of the leading global reinsurer, munich re was quoted to have said:

"absolutely safe investments, which we have been accustomed to for years, no longer exist."

mr nikolaus von bomhard added;

"a state bond is no longer what it used to be - a safe investment in all respects."

my comments:

yes, one of the unthinkables happened when a 158 years' old financial institution, lehman brothers, filed for chapter 11 bankruptcy protection on september 15, 2008 which remains the largest bankruptcy filing in the annals of us history.

but with respect to mr nikolaus von bomhard, there are still absolutely safe investments available in the form of insurance products.

and with the di-ppf bill* passed by parliament effective may 01, 2011, putting monies into insurance products is still a double-confirmed safe investment.

*source:
http://www.mas.gov.sg/legislation_guidelines/deposit_insu/Deposit_Insurance_Menu.html