In light of recent US military action in the Middle East, many Australians may be feeling uneasy about what this means for their retirement savings or investment portfolios. Here’s what you need to know—and why staying the course remains the best approach.

We’ve seen a challenging time for markets recently with significant fluctuations resulting from the US Government’s announcements on tariffs and other policies, plus geopolitical events such as those in Ukraine and the Middle East. 

What has happened recently?

In recent days, the United States has carried out targeted military strikes on Iranian facilities due to rising regional tensions. The US becoming involved in the dispute between Israel and Iran is seen as an escalation in the Middle East conflict which has created further uncertainty in markets.

What does this mean for markets and investments?

These developments have sparked some turbulence in global markets, particularly in energy prices due to concerns over potential disruptions to supply. 

 

These events and the effects are still unfolding so we may continue to see fluctuations in markets.

What does this mean for me?

As global financial markets move up and down, the value and returns of your super and investments may change in the short term.   

 

While this can be concerning, history shows that markets rise over time. So it’s important to avoid knee-jerk reactions, keep your long-term savings and investment goals in mind and carefully consider before making any changes to your investment strategy.  

 

Read more about staying in the market.

How is CFS managing my investments to reduce risk?

The CFS Investment team is experienced at managing unpredictability and has been putting measures in place to reduce the impact of increased market uncertainty for many months.

 

We’ve been actively positioning our portfolios to reduce the effect of these risks, as well as to take advantage of the opportunities that we see coming out of this period. 

Do I need to do anything?

As with any significant market event, it’s best to avoid impulse reactions, but to take a long-term view.    

 

However, if you are concerned about your investment strategy, speak to your financial adviser. If you don’t have an adviser, you can book a free consultation with our guidance team or use our find an adviser service to locate a financial adviser near you. 

 

If you have any questions about your super or investments, call us on 13 13 36, Monday to Friday 8:30am – 6pm, Sydney time. 

What’s next?

Still have questions? What to do

Still have questions? What to do

Book a call with our guidance team, or call us on 13 13 36, Mon-Fri, 8.30am-6pm AEST.

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Avanteos Investments Limited ABN 20 096 259 979, AFSL 245531 (AIL) is the trustee of the Colonial First State FirstChoice Superannuation Trust ABN 26 458 298 557 and issuer of FirstChoice range of super and pension products. Colonial First State Investments Limited ABN 98 002 348 352, AFSL 232468 (CFSIL) is the responsible entity and issuer of products made available under FirstChoice Investments and FirstChoice Wholesale Investments. This document may include general advice but does not consider your individual objectives, financial situation, needs or tax circumstances. You can find the Target Market Determinations (TMD) for our financial products at www.cfs.com.au/tmd, which include a description of who a financial product might suit. You should read the relevant Product Disclosure Statement (PDS) and Financial Services Guide (FSG) carefully, assess whether the information is appropriate for you, and consider talking to a financial adviser before making an investment decision. You can get the PDS and FSG at www.cfs.com.au or by calling us on 13 13 36.