Investors fill Swiss safes with cash,gold

Baloise,an insurance company,said several bank clients had asked recently to raise the amount of coverage for the contents of safe deposit boxes. “It’s therefore likely that safes at some banks are somewhat fuller than they were a few years ago,” said Baloise spokeswoman Jeanine Hoppe. Another sign anxiety is rising,is that a phenomenon last seen when the financial crisis erupted in 2008 has reappeared: Appetite for Swiss franc bills has grown,according to Swiss National Bank data.

“This development was due largely to high demand for 1,000 franc notes,which points to the fact that the additional demand was primarily for storing money,” an SNB spokesman said. With central banks around the world flooding markets with liquidity,some people fear spiraling inflation. The wealthy want assets that keep their value if prices rises.

“So much money has been pumped into the system that people are worried about inflation down the road,” said Bruno S Frey,professor of economics at the University of Zurich. “You counter that by buying real assets of material value.” Gold is one option. An Italian businessman was recently caught trying to smuggle gold bars into Switzerland under his car seat. Fine art and property are also considered sure bets in troubled times.