These factors make fixed maturity securities and ideal choice for insurance companies, which typically invest 50-70% of their total invested assets in fixed maturity securities.
The need for income certainty will become much more important than before and all of these factors are conducive to fixed income and positive for the development of greater depth and breadth of the regional asset-management industry.
In the short term, the supply of housing is more or less fixed, so house prices are mainly driven by demand factors: namely, personal disposable income, real interest rates and the return offered by alternative investments such as equities.