It’s ironic, isn’t it? Germany, the epicentre of the euro zone and for decades referred to as the locomotive of the European economy, produces an estimated GDP growth number for 2013 of just 0.4 percent. Sweden and the United Kingdom, both outside the euro zone, produced higher GDP growth numbers for 2013 — a predicted 1.0 percent for Sweden and an actual 1.9 percent for the United Kingdom — and are forecast to continue on that outperformance path this year and into next. Those are big differences, magnified further over time. The German locomotive is running out of steam, it seems, and needs pushing up the hill.

“The forecast is for German GDP growth to go above 2 percent,” says Stefan Wundrak, director of research, property, at Henderson Global Investors, “which is alright, but it’s not good enough to be the locomotive of anything.”

Our front cover image this month is