Mandate Memo - 19th March 2026
Hormuz Strait in dire straits
Fund Stats:
Bal Start: $1,004,967
Bought: GLF, OBM, MND
Sold: None
Bal End: $991,293
Cash: $675,245
Market Commentary
After the bad session in the US, it bled into the Australian market. Israel attacked an oil field, which pushed oil prices higher. Iran then threatened more attacks. The US producer price index rose 3.4% vs 2.9% expected. This pushed back rate cuts to April next year. The Fed decided to keep rates on hold. Selling was indiscriminate with some select names bucking the trend.
Materials were the worst performing sector, then IT and HC. Companies with a direct exposure to the oil price, like WDS, were up. Defensive names like WOW and COL were also up. The portfolio is still ~60% cash so there is plenty of dry powder to deploy. Until there is clarity on the Strait, it is expected the market will continue to fall.
Investment Rationale
Disclaimer: This is a simulated portfolio. Content is for educational purposes only and does not constitute financial advice. Always do your own research.