Interest rates are rising: This is how investors take advantage of the opportunity for secure returns in their portfolio

Interest rates are rising: This is how investors take advantage of the opportunity for secure returns in their portfolio

According to a report by www.capital.de, interest rates have been rising steadily since the summer of last year. Both the European key interest rate and the American key interest rate are now at a level that was last reached before the financial crisis of 2007/08. This steep rise has led some market observers to wonder whether this wave of interest rates will soon subside.

The rise in interest rates can have a significant impact on various aspects of the economy. On the one hand, the cost of capital for companies could increase, which in turn affects investments and expansion. In addition, consumer loan and mortgage interest rates could rise, which could impact consumption and real estate markets. For investors, the rise in interest rates can also mean that they are less willing to take risks and invest more in fixed-interest investments such as bonds or time deposits.

Rising interest rates can therefore affect the market, the consumer and the entire industry. Companies may need to rethink their financing strategies, consumers may experience higher borrowing costs, and investors will likely need to rebalance their portfolios to cope with changing market conditions.