Where do germans put their savings ?

No, really.
today's auction: 5-year Bobl notes sold @1%
and inflation is 3%

Do germans have savings ? Where do they put their money ?

 

BOTS, CTZ, CCTeu and BTPS... I hear they're all going cheap these days.

 

Panzers.

 

Festgeld (fixed deposits), Tagesgeld (call money), Sparbuch (savings accounts), Lebensversicherung (life insurance). They don't trade or invest much. Only roughly 15% are invested in the market through a fund manager, even less (about 5%) are directly invested in stocks. Real estate is still regarded as the crown jewel of wealth preservation and inflation protection.

 

Germans love to buy toxic crap from all over the world. US CDOs, Italian BTPs and Icelandic CDs. Package any garbage and make it yield a few bps over Euribor and the Germans will be interested.

 

Structured product notes that include complex derivatives and pay nice incomes by selling some kind of vol or correlation.

 

That's unfair. You're describing German bankers, not Germans.

 

Automated trading systems.
1% a month on $1mio euro equals pretty nice living.

also germans buy real estate abroad