Germany holds the key to whether the EU will remain in its current form. And, German elections over the weekend indicated many Germans are tired of bankrolling the efforts to keep the EU together. We now have to figure out who will get caught holding the bag and lose money if some or all of the countries in the EU withdraw from the EU.
We first alerted you two and one-half years ago (TWC of 2-23-09) to sell all of your mutual funds with high European concentration. In 2009, we feared the credit crisis would grow and engulf more countries. This fear became reality. The current status of Europe Union is highly fragile. We recommend you continue to avoid mutual funds with high European concentration.
The Weekly Commentary
Observations of the current state of the stock and bond markets
