There is a very old story that has been told many times when talking about investments and economy. It is all about an investor whose will was to take his money and plant it somewhere fertile, where he could watch it grow and produce. However, this investor was toned with fear, and there was nothing he could do calmly, because every investment had its own risk. This investor had an assessor, who was the total opposite from him when it came to thinking about investments. This assessor was optimistic about every single investing idea that was born.
When a very valuable opportunity presented to the investor's sight, they sat down and analyzed the situation. The idea is great Sir, things should workout incredibly great, at least for the first year- said the assessor. However, the investor's words were: “No, imagine what would happen if I put all my money and my investor's money on this? Imagine, if things go well for the first year, after this time they will want to take their money out of action. I will be left alone with tons of debts and unemployed”
Well, it is easy to sympathize with both the investor and the assessor. However, this is exactly what Asia is starting to do, mostly China! They are seriously investing in emerging markets which, in these hard times, can have a great boom and a horrible bust later. It is not a surprise that China is looking for a way to invest, but their investments in banks and private initiatives are too risky.