Markets take a breather after hitting record highs

Portfolios are holding steady in July

Following the huge price rises in the second quarter, July brought a measure of calm back to the financial markets. Whilst temperatures outside (and often inside too) soared, stock markets worldwide took a brief breather. This is reflected in the returns of the Peaks portfolios.

The return on the ‘Adventurous’ portfolio fell by 4.0% in July. That may sound dramatic, but don’t forget that this portfolio’s value has risen sharply in recent months. Compared with the start of this year, the ‘Adventurous’ portfolio is still up 12.9%, which is a great result for such a short period. In the table below, you can clearly see the difference between the strategies: the higher the risk, the greater the falls this month, but also the higher the average return in the long term.

Table 1: Net returns of Peaks portfolios

Important to know: These net returns reflect Peaks' portfolios in July 2026, all of 2026 and since the launch of Peaks, after deducting Peaks, fund, and transaction fees. The value of investments can fluctuate, and past performance is no guarantee of future results.

The above figures assume a portfolio value of €10,000 without any deposits or withdrawals. If you made deposits or withdrawals this month, your personal return may differ. Your return will also vary if you have invested less or more than €10,000 due to the monthly fees Peaks charges.

Despite the fall in prices, July was a relatively quiet month on the stock market. Price fluctuations (volatility) were actually lower than average in July. This makes 2026 a very normal year so far in terms of volatility.

Table 2: Risk of Peaks portfolios

Important to know: This table shows the risk levels of the 4 Peaks portfolios over different time periods (last month, this year, and the average since Peaks launched). Risk, also known as volatility, reflects the variation in annualised returns and is measured using the standard deviation of daily net returns converted to an annual basis.

Solid economic figures in July

Economic figures released in July suggest that, despite geopolitical tensions, the global economy is developing steadily.

In the United States, the good news was that inflation fell as energy prices dropped. Consumer and producer confidence both rose. Although consumer confidence remains below average, it is no longer as low as it was previously. Particularly positive is the sharp rise in producer confidence, which suggests that economic growth is picking up. The US central bank, the Fed, left interest rates unchanged. But the board was divided, with a number of members voting in favour of a 0.25% rate rise. So there is a chance that interest rates may still rise later this year.

Figures in Europe were also solid. Inflation remains above the European Central Bank’s (ECB) target, but doesn’t seem to be rising any further. Another positive development was that economic growth in the second quarter was higher than expected. Producer confidence in Germany, Europe’s largest economy, has also improved.

Table 3: Net returns of the index funds included in the standard Peaks portfolios

Important to know: These net returns reflect the performance of index funds in July 2026, all of 2026, and since Peaks launched, after deducting Peaks, fund, and transaction fees. The value of investments can fluctuate, and past performance is no guarantee of future results.

What this means for your Peaks portfolio

Following a period of sharp price rises, a phase of stabilisation is perfectly normal. The stock market simply doesn't move in a straight line upwards: price fluctuations are part and parcel of it.

This is precisely why broad diversification is so important. With the Peaks portfolios, you invest globally in hundreds of companies and bonds. This broad diversification cushions the shocks and ensures that your assets can grow in line with the economy over the years.

So enjoy the summer and let your investments do their work in peace!