🏎 Porsche is going public

Russia's up to no good | Volkswagen's loses its street cred | [TOGETHER WITH]( Hi {NAME}, here's what you need to know for February 23rd in 3:11 minutes. 🤯 Imagine investing utopia: there are opportunities all around, and you pay less tax when you buy into them. Join Caliber’s Chris Loeffler for [Your Guide To Opportunity Zones]( on Friday, and find out where to find this investing heaven. [Grab your free ticket]( Today's big stories - Investors didn't react well when Russia took its first steps into Ukraine - One investment manager has laid out how each possible outcome of this Ukraine crisis could impact your investments – [Read Now]( - Volkswagen is planning an initial public offering of Porsche Czarstruck [Czarstruck] What’s Going On Here? Another act of Russian aggression sent ripples through markets on Tuesday, but you know what they say: even Vlad publicity is good publicity. What Does This Mean? The West has been [concerned]( that Russia might invade Ukraine for a few weeks now, and Russia’s decision on Monday to [recognize]( the independence of two separatist Ukrainian regions – and to subsequently install troops in both of them – won’t have done much to help matters. Investors certainly didn’t like it one bit: global stock markets fell at the prospect of all-out war, and the prices of gold and government bonds soared as everyone rushed to buy [safe-haven]( assets. The price of oil shot up by 5%, as the prospect of a disruption to supplies of the slippery elixir took hold. And with Russian sanctions looking more and more likely, the Russian ruble rounded things off by collapsing to a 15-month low. Why Should I Care? For markets: Inflation up, growth down. Just the news that Russia – the world’s third-biggest oil producer – might be edging closer to an invasion sent the price of oil up to nearly $100 a barrel. That alone could put more pressure on the global economy, but JPMorgan has war-gamed a scenario where we hit $150 a barrel this quarter. If that happens, the investment bank’s forecast for global inflation in the first half of the year would double to 7.2%, and global economic growth would shrink from 4.1% to 0.9%. The bigger picture: A lose-lose for central banks. That combination of higher inflation and slowing growth would put central banks in a Catch-22. One of the best weapons in their arsenal to limit inflation is to raise interest rates even quicker than they’d [planned](, which would slow down borrowing and spending. But they’d also be aware that those same interest rate hikes would, by definition, only make the economic slowdown worse. You might also like: [Six ways to adapt to rising interest rates.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Czarstruck&utm_campaign=daily-global-23-02-2022&utm_source=email) Analyst Take An Investor’s Guide To The Russia-Ukraine Crisis [An Investor’s Guide To The Russia-Ukraine Crisis]( [Photo of Carl Hazeley] Carl Hazeley, Analyst What’s Going On Here? The Russia-Ukraine crisis is on a knife’s edge, that much is clear. And while where we go from here is up in the air right now, economists from investment manager abrdn have considered [various outcomes](. We could be looking at [a diplomatic fix](, for example. But that’s not a clear-cut “shake hands and let’s be friends” situation, as any sign of weakness could precipitate more negotiations. We could be looking at some combination of fragile diplomacy and [Russian “grey-zone activity”]( – a.k.a. cyber warfare – that rumbles on for a while yet. Or there could be something [much, much worse](. So that’s today’s Insight: six scenarios for how the crisis might pan out, and [how the crossfire from each of them could damage your portfolio](. [Read or listen to the Insight here]( SPONSORED BY MONEYFARM Your ISA’s bored It’s not just you: your ISA needs a change of scene too. See there’s a good chance you’re not getting the best returns if your cash has spent years stuck in the same place. So it might be time to give it a shake-up: transfer your ISA to [Moneyfarm]( and you’ll get a ready-to-go portfolio that works toward [your long-term financial goals](. You can trust Moneyfarm’s [team of experienced asset managers]( to look after your investments, and you’ll discuss any big decisions with your own dedicated investment consultant. Moneyfarm can manage the transfer from start to finish: [make the switch today](. [Shake Up Your ISA]( *With investing, your capital is at risk. Brag Race [Brag Race] What’s Going On Here? Volkswagen [announced]( on Tuesday that it’s planning to list Porsche on the stock market, as the world’s biggest carmaker really leans into its midlife crisis. What Does This Mean? Volkswagen is desperately trying to redefine itself, having announced in December that it’s [increasing]( its investments in electric vehicles (EVs) by 50% over the next five years ([tweet this](). But that money has to come from somewhere, and an [initial public listing]( (IPO) of Porsche – which was [taken over]( entirely by Volkswagen in 2012 – could be the answer to the carmaker’s prayers. It’s not clear how many shares Volkswagen plans to sell, but even a handful should go a long way: Bloomberg estimates that Porsche’s IPO could value the company at as much as $96 billion. Why Should I Care? For markets: Porsche doesn’t need Volkswagen. That $96 billion valuation is even more impressive when you consider that Volkswagen is worth $129 billion, while Porsche’s supercars make up just 3% of the vehicles Volkswagen sells. So if Bloomberg is right, Porsche accounts for 74% of Volkswagen’s current market value. But Porsche is a lot further ahead than Volkswagen in its EV plans, with analysts expecting roughly half of its sales to be electric by 2025 – five years [earlier]( than its parent company. Throw in Porsche’s much higher [profit margins]( than the rest of Volkswagen’s businesses, and the luxury carmaker is arguably a much more appealing proposition. The bigger picture: Just pretend we’re not here. Ford’s also well aware of investors’ penchant for EV stocks, which might be why the American carmaker said late last week that it’s [looking]( to separate its EV division from its century-old legacy business. Ford did say it considered listing the division on the stock market, but it’s more likely to turn it into its own segment that’ll report its own separate financial results. That should make it easier for investors to value its EV business, and should push up the valuation of the company as a whole. You might also like: [How value the crème de la crème of EV businesses.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Brag Race&utm_campaign=daily-global-23-02-2022&utm_source=email) 💬 Quote of the day “All life is an experiment. The more experiments you make, the better.” – Ralph Waldo Emerson (an American essayist, lecturer, and philosopher) [Tweet this]( CRYPTO PULSE IN PARTNERSHIP WITH FABRIIK What type of NFT investor are you? The [boom in NFTs]( has created all kinds of investors. So you might be a… 1. Trendsetter: You use Google Trends to find collections that are gaining in popularity. 2. Bargain hunter: You look at the overall market, rather than judging the [value of an NFT]( on its current listing price. 3. Bottom-buyer: You sort items from an NFT collection and buy the cheapest one available. 4. Ceiling-scraper: You buy a [high-value NFT]( that you think will only keep climbing in value. 5. Hoarder: You buy several NFTs from the same collection, so you can pick which ones to sell at any given time. Whatever kind of NFT investor you are, [FabriikX]( – a new kind of NFT marketplace – can help you to discover art and digital collectibles from established and up-and-coming creators. Explore Fabriik’s [Inaugural Community Collection]( today. [Get Started]( When you support our sponsors, you support us. Thanks for that. 🌎 Finimize Live 👀 What’s coming up… 🎉 [Getting Started With NFTs](: 5pm UK time, February 23rd 🌿 [Getting To Grips With ESG Investing](: 6pm UK time, February 24th 🏡 [Your Guide To Opportunity Zones](: 5pm UK time, February 25th 🙌 [Setting Your Crypto Strategy Up For Wealth Creation](: 6pm UK time, 28th February 🎨 [How NFTs Are Resculpting The Art Industry](: 5pm UK time, March 1st 🖼 [How To Diversify Your Portfolio with NFTs](: 5pm UK time, March 2nd 🤔 [How Regulation Could Impact Your Crypto](: 6pm UK time, March 3rd 🌟 [How To Pick A Metaverse Winner](: 7pm UK time, March 4th 🚀 [Everything You Need To Know About The Metaverse](: 6pm UK time, March 8th 🧐 [How To Value NFTs](: 5pm UK time, March 9th 🥊 [The Art Of Beating The Market](: 6pm UK time, March 14th 🌲 [How To Analyze Sustainable ETFs](: 6pm UK time, March 15th 👩‍🎨 [NFT Investing Strategies Tailored To You](: 5pm UK Time, March 16th 🙋‍♀️ [How Female Investors Can Learn About Blockchain](: 5pm UK time, March 17th 💥 [The Endless Potential Of Equity Tokenization](: 5pm UK Time, March 21st 👟 [How To Invest In Sneakers](: 5pm UK time, March 22nd 🐻 [How To Survive A Bear Market Investing In Crypto](: 1pm UK time, March 24th 🍀 [How To Pick The Best ESG Stocks](: 6pm UK time, March 28th 🎯 On Our Radar - Apple’s always watching. Over to [Android](, then. - We might be heading into space. Here’s why we need to bring a bit of [Earth]( with us. - Crypto’s not exactly known as a green haven. [This company]( wants to change that. - Step aside, Spotify. Ye’s launching his own [platform](. - A great movie score takes a village. It’s time that village got the [thanks]( it deserves. ❤️ Share with a friend Your Referrals: 0 Thanks for reading {NAME}. If you liked today's brief, we'd love for you to share it with a friend. If they sign up on your unique link, you’ll earn some sweet swag. Share your unique link: [ You stay classy, {NAME} 😉 We’d love to hear your thoughts. [Give feedback]( Want to advertise with us too? 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