Fed raises interest rate: How investors should react to the interest rate turnaround – Economy

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Harold Freiberger

It was only a small step for the US Federal Reserve, but it is of great importance worldwide and also affects German investors. A week ago, the central bank slightly increased the key interest rate for the first time since the end of 2018, the range is now between 0.25 and 0.50 percent. What is crucial, however, is that the central bankers have announced many more rate hikes. The turnaround in interest rates is here, at least in the USA. Typically, this means that bonds and other interest rate products become more attractive and stocks become less attractive. Many private investors are therefore now thinking about whether they should restructure their portfolio. The most important questions and answers:

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