Caution was right

The war in Ukraine caused very great uncertainty on the financial markets at the beginning of the month. The heavy dependence of many European countries on Russian natural gas and the associated fear of an energy crisis caused European stock markets to dive across the board. Inflation in the euro zone reached a record high and in the USA even rose to levels last seen in the 1970s. As a result, there was a sharp rise in government bond yields. In the second half of the month, however, confidence returned to the markets and there was more determined analysis of which sectors were affected by inflation and in what form. Our defensive orientation and the composition of our portfolio proved to be correct. We remain true to this strategy and maintain our hedges -- but are also prepared for further rising prices.