Recent events in the Middle East have led to a sharp escalation in geopolitical tensions, resulting in increased volatility across global financial markets.

Following joint US and Israeli strikes on Iranian strategic targets, Iran responded with missile and drone attacks across the region. Disruption to shipping in the Strait of Hormuz, a key route for around 20 percent of global oil supply, has driven a surge in oil and gas prices and raised concerns about global inflation and economic growth .

Markets reacted quickly. Global equities fell at the start of the week, while safe haven assets such as gold and US Treasuries strengthened. Higher energy prices may place additional pressure on inflation, potentially influencing the timing of future interest rate decisions by central banks.

While the situation is serious and developing, history shows that markets have recovered from geopolitical shocks over time. Volatility is a natural part of investing, and reacting emotionally to short-term movements can be detrimental to long-term outcomes.

The portfolios referenced in the update remain globally diversified and positioned to manage periods of market stress. Fixed income holdings have also continued to provide stability during recent fluctuations .

We continue to monitor developments closely and remain focused on long-term investment principles rather than short-term market movements.

Read our latest update HERE