Several billion euros in savings were burned

Unicredit Palace – ANSA photo –

The banks in which citizens have placed the most trust are at risk of default and billions of savings could be up in smoke.

The relationship between citizens and banks is certainly not idyllic. Unfortunately, maintaining relationships with banks is now indispensable both for ordinary citizens and for those who are professionals or owners of small and large companies. But in the last few months it has been there ferment in the banking sectorboth the Italian one and the global one.

The turbulence that has occurred in this sector is largely due to what is defined as a commercial real estate bubble, which will not stop just in the United States. From this perspective we are all at risk of default. In short, what do they say in our area? We are all in this together?

We talk about the economic crisis, we Italians look inside our country, but it affects many more places than one might believe.

Stocks collapse New York is worried, too German and Japanese banks it’s starting to creak, could we Italians who have been in the balance for our entire lives ever save ourselves? The answer is obviously no, but it’s worth understanding what’s really happening.

The bugaboo of default

In the last few hours it seems to have skyrocketed default risk for our state and for a large number of European states. For those who are not familiar with the economic terms, we explain that default indicates the technical inability that a certain issuer has in respecting the contractual clauses that had been previously decided. An insolvent state creates a default.

The crisis in the real estate sector has meant that the risk of default has spread to several states, some of which were literally unthinkable, at least until a few weeks ago.

Real estate crisis – Fonte_corporate –

The banks at risk and the securities that do not suffer crises

What is scaring Italy is the crisis of some unsuspected banks such as German banks Deutsche Bank, HSBC Holdings and BNP Paribas. But not all banking sectors are in crisis. The smaller jurisdictions are going strong, where the market still has good room for growth.

Some institutions are still very strong and are little exposed to the real estate crisis that is gripping the banking world. There are many opportunities that can be exploited.

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