Financial crises are not anomalies but an integral part of the market cycle. In 2025–2026, investors have faced heightened volatility: the impact of U.S. tariff policies, fluctuations in the European Central Bank’s (ECB) key interest rates, geopolitical risks, and inflationary surges have created a challenging environment. Roxtengraphs has long developed proven approaches to asset management precisely during such periods. We do not attempt to predict the exact start or end of a crisis — instead, we build resilient systems that enable clients to preserve capital and seize emerging opportunities. In this article, we break down the key elements of our work in stressful conditions.
Anti-Crisis Strategies: Preparation in Advance
Roxtengraphs always starts with prevention. Anti-crisis strategies are embedded at the portfolio formation stage: diversification across asset classes, regions, and sectors, the use of protective instruments, and scenario testing for extreme events.
In 2025, when U.S. tariff measures triggered global volatility and capital rotation from technology stocks to more stable sectors, Roxtengraphs already held an increased allocation to defensive assets — healthcare, consumer staples, and utilities. We applied tactical hedges: options, short positions on high-beta assets, and limited use of inverse instruments. This allowed clients to navigate February–March 2025 with drawdowns 30–40% lower than broad benchmarks.
Our philosophy is simple: an anti-crisis strategy is not a reaction to news but a set of strict rules. When the VIX exceeds 25 points or the yield curve inverts for more than 3 months — predetermined actions are automatically triggered. This approach minimizes emotional errors and provides an advantage in turbulent periods.
Liquidity Control: Access to Funds at Any Moment
In a crisis, liquidity becomes more valuable than gold. Roxtengraphs strictly controls this parameter: in moderate-aggressive portfolios, we hold 10–15% in highly liquid instruments (eurozone government bonds with short maturities, money market funds, ultra-short corporate bonds), and in conservative ones — up to 25–30%.
We regularly conduct stress tests: simulating scenarios like the 2020 banking liquidity crisis or sudden margin requirement tightenings. In 2025, when volatility on European markets reached elevated levels, the increased liquidity buffer enabled Roxtengraphs clients to either wait out the panic or buy quality assets on dips without forced sales.
Special attention is paid to alternative assets: we avoid excessive concentration in illiquid positions (closed-end funds, direct real estate investments) during periods of uncertainty to maintain maneuverability.
Risk Reduction: Multi-Layered Protection
Roxtengraphs uses dynamic risk management. We monitor portfolio beta, bond duration, issuer and sector concentration, currency, and country risks. In crisis mode, we shift to “defense”: reducing equity exposure, shortening duration, and increasing weights in low-volatility and negatively correlated assets.
In early 2025, as Trump tariffs heightened inflationary expectations and rates rose, we promptly reduced average bond duration by 1.5–2 years and added positions in inflation-protected instruments (European inflation-linked bonds, commodities-linked ETFs). VaR and CVaR models, along with stress tests for recession and stagflation, provided quantitative justification for each decision.
Result: the average maximum drawdown across Roxtengraphs client portfolios in 2025 was significantly lower than the Euro Stoxx 50 index, with recovery beginning earlier thanks to timely re-entry into risk assets.
Asset Reassessment: Finding Opportunities in Chaos
Crises expose weaknesses and create undervalued assets. Roxtengraphs conducts weekly (and in acute phases — daily) reassessments: analysis of fundamentals, multiples, cash flow, debt burden, and business resilience.
In 2025, we actively exited vulnerable positions (import-dependent retailers, highly leveraged companies in cyclical sectors) and increased stakes in companies with strong balance sheets, pricing power, and low external dependency. As panic subsided, these reassessments enabled entry into quality assets at attractive prices — precisely what delivered additional returns in 2026.
We do not chase “cheap” stocks for the sake of cheapness — only fundamentally strong companies temporarily punished by the market.
Client Communication: Transparency as the Foundation of Trust
In a crisis, silence is the most dangerous thing. Roxtengraphs adheres to a policy of maximum openness: weekly market reviews, personalized letters explaining actions, online meetings, and individual consultations.
In 2025, when volatility on the European market hit records, we held regular webinars detailing the impact of tariffs, the trajectory of the ECB’s key rate (which stabilized at 2.00% for the deposit facility rate and 2.15% for the main refinancing operations rate), and scenarios for 2026. Clients received clear answers: why we shortened duration, why we increased liquidity, and when we plan to return to equities. Such communication helped prevent panic withdrawals and preserved long-term strategy adherence.
Conclusion: Crisis as a Test of the Investment System’s Resilience
The crises of 2025–2026 once again confirmed: those who survive and thrive are not the ones trying to guess the bottom, but those with a reliable, disciplined system in place. Anti-crisis strategies, strict liquidity control, active risk reduction, constant asset reassessment, and honest client communication — these distinguish the professional approach of Roxtengraphs.
We do not promise protection from all losses — markets are unpredictable. But we guarantee that in any stressful situation, your capital will be managed according to strict rules, with priority on preservation and subsequent growth. If you are looking for a partner that navigates crises not in words but in deeds — contact Roxtengraphs. We are ready to help your portfolio withstand any tests and emerge stronger.
