The future of retirement provision and alternative investment forms in Germany is facing considerable challenges. The pension level is falling continuously and is expected to fall to around 42% by 2025. This development makes private retirement provision increasingly important in order to maintain the usual standard of living in retirement.
Cryptocurrencies, investments in start-ups, alternative fixed assets and other ways away from the classic savings model are gaining in importance. Why? Traditional retirement provision is considered increasingly insecure.
Problems of traditional retirement provision and alternative investment forms
Traditional pension products such as Riester pensions and life insurance are under criticism :
- The Riester pension has not significantly improved the pension situation.
- Life insurance often offers returns that are too low for effective wealth creation.
- State-supported models often cannot compensate for the inflation rate.
Alternative investment forms
Faced with these problems, many investors are looking for alternatives :
- Equity funds and ETFs: Offer higher return opportunities, but are considered more volatile.
- Real estate: Traditionally popular, but associated with very high entry costs.
- Cryptocurrencies: Highly speculative with significant risks such as volatility, lack of regulation and security concerns.
https://deutsches-edelsteinhaus.com/wp-content/uploads/2025/01/Deutsches-Edelsteinhaus-Alternative-Sachanlage.jpg
Economic uncertainty, low interest rates and rising inflation are increasingly calling into question the reliability of life and pension insurance. Many people could be in for an unpleasant surprise in the coming years if they continue to rely exclusively on these traditional forms of retirement provision. The guarantees that were once considered reliable are losing value and the protection that one expects from insurance may no longer be sufficient in the future. This affects not only the promised repayments, but also the real value of savings, which is gradually eroded by inflation.
Private pension provision and alternative investment forms will be more important than ever in 2025
Given the declining statutory pensions and the weaknesses of traditional pension products, it is advisable to look into various investment options at an early stage. A balanced mix of different types of investment, tailored to individual risk tolerance and financial situation, remains the best way to ensure a secure financial future.
Part of this balanced mix: alternative forms of investment such as DEH investment gemstones, which have proven to retain their value over centuries. Unlike paper money or digital currencies, they are physical assets that cannot be devalued by inflation. Their rarity and limited availability make them a natural protection against economic fluctuations.
The value stability of gemstones is based on several factors. Firstly, their extraction is complex and expensive, which limits the supply. Secondly, the demand for high-quality stones is constantly increasing, not only in the jewelry industry, but also as an investment. Particularly rare and high-quality specimens have experienced impressive increases in value in the past. This makes gemstones an interesting option for investors who are looking for ways to secure and possibly even increase their wealth in the long term.
The so-called „4Cs“ play a crucial role in the evaluation of gemstones: carat (weight), clarity (purity), color and cut. These properties determine the value of a stone and can lead to two similar gemstones showing different performance. It is therefore important for investors to familiarize themselves with these criteria or to seek advice from experts in order to be able to make informed decisions.
The trend continues
Gemstones are becoming increasingly attractive as an alternative form of investment in times of economic uncertainty and low interest rates. They offer the opportunity to diversify the portfolio and can serve as protection against inflation. Despite many advantages, it is important to stress that gemstones are intended as a complement and not as a complete replacement for traditional forms of investment. Smart diversification of assets remains the key to a stable financial future. Experts recommend that 10 to 20 percent of total assets be invested in gemstones.
Certificates from recognized gemological institutes are indispensable for investment gemstones. In addition to a detailed description and grading, these reports also contain a current assessment of the market value, which is important for insurance reasons.
Would you like to discuss current investment opportunities with us? Our advisor, Ms. Tatjana Haufler, looks forward to hearing from you!
Contact us for a personal discussion.
