The problems plaguing our world are currently so manifold that it would be impossible to list them all within the confines of this letter.

Although Ukraine has made some advances in recent weeks thanks to the military aid provided by the West, this in turn increases the pressure on Russia and entails the risk of escalation with potentially apocalyptic consequences.

In the Far East, the US is raising the pressure on China through import and export duties as well as export restrictions, while at the same time provoking China by expressing its friendship with Taiwan.

The sanctions imposed by the West on Russia, and by the US on China, in turn increase the pressure on those countries to reorganise themselves and seek common trade solutions. The international divide between East and West is therefore growing noticeably wider. The end of globalisation means that many countries now want to produce the products they need themselves, but this will impact negatively on inflation.

Inflation rates may now have passed their zenith. But let’s not hold high hopes that inflation rates will soon fall sharply. Energy and food prices in particular will keep global inflation high in the near term.

Central banks around the globe are trying to counter the inflationary pressures by raising interest rates. Out in front is the US, which has so far raised its central bank rate by 3% over the course of the year. As Europe especially is unable to replicate these interest rate moves on the same scale due to economic conditions, this is leading to an ever stronger US currency due to the growing interest rate differential. This in turn is causing considerable financial difficulties for heavily US dollar-indebted developing countries. As a result, there is an emerging risk of a global financial crisis, which would have catastrophic consequences for the US, too. In recent days, there has therefore been increasing hope that, in light of these crises at least, the US might also pause temporarily, despite its vehement announcements that further interest rate moves are absolutely necessary.

For years, inflation rates will remain well above the interest rates obtainable on cash deposits. The main reason is the unsustainable global debt pile, which can likely only be reduced to a level more sustainable over the long term through the erosion of value caused by inflation. The purchasing power of our currencies will steadily decrease, making it essential to invest wealth in high-quality assets such as equities, real estate and precious metals which, over time, generate growth rates in excess of inflation.