The subject of Europe’s debt crisis just won’t go away. Since the polarization of Greece’s problems a couple of years ago the subject, and problems, have unfortunately picked up momentum. Headlines in the mainstream media have went from Greece to Portugal to Ireland to Spain to France to the United Kingdom and so on. The 17-member Eurozone has not exactly worked like a well oil machined since its inception in 1999. Europe is finally feeling the pain of an excessive entitlement environment. They are learning across the pond that you can’t take 3 months off a year, retire at age 52 and receive a very generous pension from the government and stay solvent.
I was on a conference call with some market strategists from major financial institutions a couple of days ago, and the general concensus on Europe seemed to be:
Greece will leave the Eurozone sometime in 2013
The European Central Bank has a lot of work ahead due to the debt it is carrying on its books
The Euro currency probably won’t survive in its current state
There will be some investment opportunities because of the uncertainty
Of course, here in the states, investors will also have to deal with election year follies, the “fiscal cliff”the Congressional Budget Office has identified, high unemployment, etc. If we are fortunate enough to gain some clarity and confidence regarding these issues, I think better and more rewarding days lie ahead.
By the way, none of our portfolio models or strategies depend on whether Greece gets its act together or not. At Murray Financial Group, our authentic leadership and knowledge results in conservative wealth strategies and that’s what matters to you and your family.