The Month in a Minute
March was a difficult month for global markets, with the US–Iran conflict pushing oil prices higher and reviving inflation worries. In response, we entered the month with extra cash reserves, using this money to buy – not sell – stocks when prices fell. Our decision not to sell was backed by our simple, long-term rationale: if the current situation calms and markets recover, the outlook for 2026 still supports holding investments. Amid this volatility, both Wealthify Original and Ethical Plans underperformed their benchmarks.
A tough month for global equities
After a strong February, volatility was the key theme in March, as escalations in the US-Iranian conflict forced markets to reassess.
Despite occasional optimism leading to a few mini rallies, the conflict’s ever-changing nature meant they were often followed by equally fast drops in performance.
Oil prices rose due to concerns about supply, making energy the only clear sector to see gains.
Stocks fell across the board: with the US, Europe, UK, and Asia all declining, switching regions offered little in the way of protection.
Interest rates and bonds were also affected.
The Federal Reserve held rates in March, but higher oil prices and inflation worries shed doubt on potential rate cuts. As a result, bond prices fell.
In the UK, increased inflation pressure and a weakening labour market added to the likelihood of continuing high rates from the Bank of England (with the possibility of a raise later in the year).
Moving into April and beyond, try to bear the following in mind: although headline-driven swings can feel overwhelming, this is often just short-term noise and not necessarily the long-term outcome.
Because, when you stay invested for the long-term, daily movements might end up having little impact on your eventual result.
With investing, your capital is at risk. Please remember the value of your investments can go down as well as up, and you could get back less than invested.
Wealthify does not provide financial advice. Please seek financial advice if you are unsure about investing.
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