Understanding the impact of the Ukraine crisis on your investments

Like everyone else, we have been watching with dismay as the war in Ukraine unfolds. While in this piece we address some of the economic and investment questions we have been receiving, our hearts are with those who are in harm’s way and who face much more than a financial loss.

Investment impact
The direct impact on our offshore partner Orbis’ funds stemming from exposure to Russian equities has been small. As at 31 January 2022, the Orbis Global Equity Fund had a 1.7% exposure to Russian shares, around two-thirds of which came from Sberbank and the balance from internet company Yandex. This exposure was just above 4% as at 31 October 2021, but Orbis trimmed the positions late last year and early this year, given the increased tail risk resulting from the build-up of Russian troops on the border with Ukraine and other rising tensions. The Orbis portfolios have benefited from exposure to gold and energy stocks.

Full article: https://www.allangray.co.za/latest-insights/markets-and-economy/understanding-the-impact-of-the-ukraine-crisis-on-your-investments/

March 07 2022 By Jacques Plaut - Allan Gray