The tenth annual World Economic Report has been issued (you can download a copy at http://www.weforum.org/reports/global-risks-report-2015), holding little to no surprises in the greatest predicted risks for the future. The same risks evident from the immediate past—wars, water, unemployment, and climate change remain as the four most prevalent risks. The four least-predicted risks are, unsurprisingly, the four that have not had a major impact in the recent past—inflation, deflation, infrastructure, and misuse of technology.
Just like Davos did not predict the credit crisis of 2008, world leaders, like those of the World Economic Forum, are most likely not going to predict the next big surprise, which will most likely result from one or more of the four discounted risks. This puts clients in the same position they were in 2008—on their own with regard to the best way to react to a crisis.
Because the future is so uncertain, and world leaders’ attention is focused elsewhere, we are looking into steps to reduce the risks, and take advantage of the opportunities, if suddenly inflation, deflation infrastructure or a misuse of technology arises in our client’s specific situations.