UBS Global Wealth Management reduces holdings of Indian and Eurozone stocks due to Iran war risk.

UBS Global Wealth Management has significantly reduced its allocation to Indian and Eurozone equities, citing the sensitivity of these markets to oil prices. Given the uncertainty around the resolution of the Iran conflict, the firm believes it is necessary to lower exposure to cyclical assets. UBS Global Wealth Management's Chief Investment Officer for Asian equities, Suresh Tantia, stated, "This morning we downgraded our rating on Eurozone and Indian equities from positive to neutral as they are more cyclical and will be more vulnerable to higher oil prices." UBS's base case scenario predicts that the Iran conflict may be resolved within 4 to 6 weeks, but the resolution process "could be very messy."