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It was a year of uncertainty and anticipation, of hopes for a return to a degree of normalcy following the onset of the Covid-19 pandemic in 2020. Despite the cautious optimism, markets climbed higher in 2021, supported by a stronger-than-expected global economic recovery as governments eased lockdown restrictions and normal-ish life resumed.

However, the recovery brought with it a myriad of issues: labour shortages, supply chain disruptions and rising inflation. In addition, central banks have begun to rein in quantitative easing, and some are beginning to raise interest rates – muddying the outlook for 2022. Amid such uncertainty, having a diversified portfolio remains paramount for investors.

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