Investors historically viewed gold as a "safe haven" investment, and those who invested in the most popular exchange-traded fund, the SPDR Gold Trust (ETF) (NYSE: GLD) have banked a 5 percent return over the past few days.
Bloomberg has identified another asset class that investors are flocking to for safety: German residential landlords. The logic behind such a move is sound, as investors are banking on the fact that Germany's largest cities will now see an increase in demand for housing if U.K.-based companies shift their workforce out of major cities such as London and into Germany.
Morgan Stanley's Bianca Riemer wrote in a note on Monday that the German residential market is "largely intact despite significant political and economic uncertainty."
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One example of a residential stock performing well as of late is Vonovia SE (OTC: DAIMF), a real estate manager whose properties are mostly located in the old German Federal States, including Berlin. Its German-listed stock is now higher by more than 6 percent over the past five days, 13 percent since the start of 2016 and more than 22 percent over the past year.
In fact, at one point, shares of Vonovia were trading higher by nearly 4 percent on Monday, making it the largest gainer in the DAX Index.
Finally, Bloomberg noted that German residential landlord stocks have actually outperformed other major indices over the past three years as the sector has benefited from rising rent costs, appreciating home values and declining interest rates, which helps lower financing costs.
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