Technology and Precious Metals as a Hedge?
Investors should plan their moves well in advance. If the situation with Taiwan were to escalate, it will be difficult to obtain metallic commodities.
Bild Newspaper Alarms with Possible Invasion Scenario in the Taiwan Crisis
The Ministry of Defense in Taipei reports over 100 Chinese fighter jets and 6 ships that conducted a military exercise off Taiwan. Allegedly, 24 of the aircraft crossed the median line of the Taiwan Strait, the strait considered the unofficial border between Taiwan and mainland China. Provocations of this kind are increasing, leading many to question how long this can continue.
Is an Attack on Taiwan Imminent?
Beijing makes no secret of its intention to bring Taiwan under its control. The question many are asking is no longer whether, but only when that will happen. In 2027, President Xi Jinping’s third term will end, and re-election for the fourth is due—seasoned observers therefore see this year as an ideal time for a possible Chinese attack.
China's Attack Could Trigger Stock Market Crash and Hyperinflation
In an article published three days ago in Bild newspaper, a scenario was explored of what would happen if the situation escalated. Such a case would not only be a humanitarian catastrophe, but would also have drastic consequences for Western financial markets. Many industries would face massive problems due to collapsing supply chains, causing their stock prices to plummet. The scenario described in the tabloid is strongly reminiscent of the 2008 financial crisis: a stock market crash, high inflation—in extreme cases up to 50%—and resulting “bank runs,” meaning lines of people in front of ATMs wanting to withdraw their money. Bild newspaper, rarely at a loss for dramatic words, even speaks of a possible “third world war.” The United States would certainly stand by Taiwan and could thus draw parts of NATO into the conflict.
Invest in Secure Commodities Now
In such a situation, investors seek “safe havens,” but these are not always easy to find—especially when one has waited too long. Commodities in particular promise security, but it should be noted that during an economic crisis, demand for them often decreases due to reduced production.
However, there are two exceptions: urgently needed materials and precious metals.
Strategic metals such as indium, gallium, and germanium are required for communication, defense capabilities, and medicine.
Because they are indispensable, they retain their value in times of crisis, just like gold, silver, platinum, and palladium, and protect against inflation.
The Noble Portfolio +finomet product contains the technology metals and rare earths most urgently needed by industry. Those who invest in these commodities not only preserve the value of their assets, but also enjoy the prospect of attractive tax-free returns.