Allianz sees huge strides in poverty alleviation

One in 7 people worldwide now belongs to the middle class, a study by German insurer and asset manager Allianz reveals. The largest contributor has been China, the Global Wealth Report 2018 points out.One in 7 people worldwide now belongs to the middle class, a study by German insurer and asset manager Allianz reveals. The largest contributor has been China, the Global Wealth Report 2018 points out.

“In Scandinavia, [the problems] may be due to high debt levels among large parts of the population — in Germany, the dependence of many on the state pension system without having created a complementary capital-funded pillar is to blame,” said Allianz Chief Economist Michael Heise.

The report also sheds some light on the changing sentiment of savers across the globe. While in the aftermath of the global financial crisis people tended to steer clear of shares and investment funds, they became more confident again in 2017, pumping significant resources into this asset class.

At the end of last year, investment in stocks made up 42 percent of all savings, the study shows.

“The fading love for bank deposits, particularly in the old industrialized countries, came not a second too early,” said co-author Kathrin Brandmeir, adding that “savers finally recognized the sign of the times.”

Source: dw.com