Xi Jinping seems to have won his arm-wrestling match with Donald Trump. If the rumor turns out to be true, it was a Chinese jet that took down a French Rafale over Pakistan. China keeps scoring points on every front.

The stock market feels a bit like a long-haul flight: seatbelts fastened, the captain warns of turbulence, but service goes on. The real worry? No one seems to know when—or how—we’re going to land… So, better keep that seatbelt tight and avoid staring too long out the window.

Table of Contents

• Market Review

• The Age of Negotiations

• Few numbers

• Achilles’ Heel

• From Heel to Toe, It’s a Short Step

• B-R & H Finance

Market Review

The Age of Negotiations

Across the Atlantic, uncertainties have (for now) cleared up. The Geneva talks between the United States and China made it very clear who’s really in control — spoiler alert: it’s not Uncle Sam. All major stock indices are now in the green, except for the Nikkei225 (-4.2% YTD). The Nasdaq100 posted a solid +9.04% MTD (+0.92% YTD), while the S&P500 gained +6.46% MTD (+0.25% YTD).

Markets are betting on a perfect alignment of the stars in Germany. Easing trade tensions, a massive stimulus plan, and the election of the ultra-orthodox Friedrich Merz as Chancellor have pushed the DAX to a historic high of 23'640 points. Since January, it has gained an impressive 18.64%, outperforming all major global indices except the IBEX35 (+18.77%) and Africa Titans 50 (+18.69%). The FTSE MIB also delivered a strong performance (+17.17% YTD), while the CAC40 (+6.68% YTD) is struggling (a little) to keep pace.

Welcome to the age of negotiators... and conveniently timed ceasefires

The US and Iran are talking nukes in Oman; Russia and Ukraine have scheduled a Putin-Zelensky face-to-face on May 15 in Turkey. Even India and Pakistan have set down their Kalashnikovs — long enough for the Nifty50 to enjoy a bump (+1% MTD, +3.95% YTD).

But behind all the diplomatic smiles, China is watching with a sly grin. It now supplies 81% of Pakistan’s military needs (up from 36% between 2006 and 2010). The rumor that a Chinese J-10C took down a French Rafale sent Dassault Aviation into a tailspin (-9.45%) and lifted Chengdu Aircraft Corporation (+40% on the Shenzhen exchange). If confirmed (and it’s looking likely), Dassault may need to go back to the drawing board...

Meanwhile, Apple has announced that it plans to assemble all iPhones for the US market... in India by 2026. That’s 60 million units — 28% of its shipments. With Indian wages five times lower than China’s (which are themselves five times lower than US wages), India could be one of the big winners in the reshuffling of global trade.

Shockwave in Pharma

The US President has proposed slashing drug prices by 30% to 80%, aligning them with the lowest global levels. It’s relatively easy to verify and implement (if Congress agrees). Needless to say, Big Pharma didn’t take it well... This move could very well set a precedent for many countries worldwide.

Oil & Commodities: The Calm Before the Storm?

WTI is slowly climbing back to 62.97 Usd per barrel (+4.01% MTD), though it remains down 12.22% YTD. As for gold, the shine has dulled a little: -1.88% MTD despite an impressive 23.78% YTD gain.

Bitcoin & Ethereum

Bitcoin has once again broken through the 100'000 Usd mark, trading around 102'631.99 Usd (+8.51% MTD, +9.55% YTD). Driven by growing institutional adoption and ambient uncertainty, it looks ready to write a new chapter.

But the real star of the past two weeks is Ethereum: +21.71% MTD (yes, you read that right), even though it’s still down 34.7% YTD. But caution — in crypto, soufflés tend to deflate faster than they rise.

Bonds: Yields Are Climbing Again

Yields on sovereign bonds continue their slow ascent: holders of US 10Y Treasuries lost 2.34% in MTD, while holders of German Bunds (DE 10Y) are down 1.17%.

Meanwhile, the VIX is hovering around 20 points.

Our Opinion

The stock market is a bit like a long-haul flight. Everyone’s buckled in, the captain announces turbulence, but service carries on. The worrying part is that no one seems to know when we’re landing... So, keep your seatbelt fastened, and maybe don’t look out the window too much.

Few numbers

• Cultivated meat startups raised just Usd 139 million in 2023—a far cry from the Usd 1.3 billion peak in 2021.

• In Japan, steel is now cheaper than bottled water: cold-rolled steel goes for 141.5 yen per kilo vs 156 yen for mineral water—thanks to cutthroat retail competition.

• Berkshire Hathaway hit a record Usd 348 billion in cash reserves, as Warren Buffett officially hands over the reins to Greg Abel, his named successor since 2021.

Editorial

Achilles’ Heel

A long time ago, in a world where gods loved meddling in human affairs (and humans didn’t mind meddling back), Achilles was born. Son of the immortal nymph Thetis and Peleus, a mere mortal but king of the Myrmidons, Achilles was dipped in the River Styx by his mother to make him invincible. Small problem—she held him by the heel. That tiny oversight turned immortality into vulnerability.

Years later, under the walls of Troy, Achilles fell—struck by an arrow shot by Paris, guided by none other than Apollo. The ultimate irony: the great hero didn’t fall in a glorious duel but like a common soldier, picked off from a distance by a sniper. The gods, bored with his arrogance, had decided his time was up.

The Symbolism of the Heel

Achilles’ heel isn’t just an anatomical detail; it’s a symbol of the flaw hidden in every fortress, the human limit in any claim to perfection. In psychological or moral terms, it’s where pride, ambition, or self-importance set us up for failure. In modern terms, it’s the grain of sand that grinds the mighty machine to a halt—whether that’s a person, a kingdom, or a billion-dollar project.

For Freud, it’s where the ego overestimates its strength. For strategists, it’s that overlooked weakness that topples empires. And in today’s world, Achilles’ heels are everywhere—usually hidden under a shiny layer of technological hubris. Just think of the Titanic, the Hindenburg, or the Soviet disaster in Afghanistan: three icons of unstoppable power, each brought down by a single fatal flaw. Proof that the worm is often in the apple before the first bite.

Even Our Leaders Have Their Heels

For Xi Jinping, Achilles’ heel isn’t just absolute control; it’s the fear of losing face. In a system built on the illusion of Party infallibility, mistakes become intolerable—and are simply denied. The result? Bad news rarely travels upward, economic bubbles inflate unnoticed, and human capital quietly erodes under the weight of surveillance.

Vladimir Putin lives in the halls of a historical museum. His Achilles’ heel is nostalgia for lost greatness. Obsessed with reviving a bygone order, he drags his country into costly asymmetric conflicts, wrecking its finances, isolating its diplomacy, and crushing the spirit of a whole generation. Trying to freeze history, he stops his nation from moving forward—widening the gap between his Russia and the modern world he claims to challenge.

And Donald Trump? He’s a textbook case. His Achilles’ heel is his own reflection. That towering ego, compulsive communication, and endless need for dominance turn every potential victory into a pointless controversy. He builds power like stacking Lego blocks: fast, tall, but without a solid base. One puff of air—and it all comes crashing down. Usually by his own hand.

And You?

We all have an Achilles’ heel. A weakness that, left unchecked, can bring us down—whether in our personal lives, at work, or in the markets. One overly concentrated position, a debt left to fester, a risk quietly underestimated.

As the saying goes, it’s not the lion that kills the antelope—it’s that one fatal moment of inattention.

So… what’s your Achilles’ heel?

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Investments

From Heel to Toe, It’s a Short Step

Two of my kids ran marathons on the same day—one in Paris among 55'000 runners, the other around Lake Zurich. Watching James cross the finish line along the Limmat was emotional. While he caught his breath, I found myself staring at runners’ feet. There was everything: Hokas, carbon-plate Nikes, old-school classics, barefoot styles… a full-on catalog on asphalt.

China produces 60% of the world’s sneakers, followed by Vietnam and Indonesia. So when talk of higher import tariffs surfaced, it left quite a mark—especially on the markets.

Investing in Sneakers: When Soles Become Assets

The sneaker world has morphed into a full-fledged economic, cultural, and technological ecosystem. It touches everything—mass consumption, luxury, elite sports, and inevitably… financial investments. The resale market, limited editions, flash “drops”—this is somewhere between stock trading and treasure hunting. A 1985 Air Jordan 1 can now fetch more than a vintage Hermès bag; some pairs trade like fine art or growth stocks. Case in point: in February 2024, a set of six Air Jordans worn by Michael Jordan during NBA Finals sold for Usd 8 million at Sotheby’s. The individual record? An Air Jordan 13 from the 1998 Finals—sold for Usd 2.2 million in 2023.

A Market Hierarchy in Constant Flux

Nike still leads with a 40% market share, followed by Adidas at 28%, but the gap is closing fast. Hoka turned orthopedic design into fashion gold and is a hit among runners (and podiatrists). On Running, powered by Swiss engineering and minimalist storytelling, listed on the NYSE (Usd 16 billion market cap) and keeps grabbing market share (currently 1.4%). Even Skechers, once stuck in the bargain bin, has reinvented itself with in-house tech and a fresh brand image. Proof? 3G Capital just announced a Usd 9.5 billion takeover on May 11.

Technology Is the New Luxury

Forget canvas and flat soles—today’s sneakers come loaded with carbon plates, titanium inserts, memory foams, and geometry-tweaked soles. Some marathon shoes now cost more than the plane ticket to the race itself (take the Adidas Adizero Adios Pro Evo 1 at Usd 500; Zurich–New York with Condor? Chf 321). Innovation comes from both giants and challengers, and buyers aren’t just shopping for shoes anymore; they’re buying performance gains, ultimate comfort… and above all, a tech-driven story.

Hyper-Segmentation or Just Plain Absurd?

There’s now a sneaker for every sport, every surface, every situation. Grass court tennis? Indoor padel? A 10K city run in the rain? There’s a pair for that. It’s fascinating… and highly profitable: the more specialized the product, the fatter the margins.

The New Face of Corporate Capitalism

Once upon a time, elegance meant polished leather Oxfords. Today, a tech CEO can pitch a funding round in a Patagonia hoodie and New Balance sneakers. Church’s, Weston, Berluti—they’re still hanging in there, but clearly losing ground. Sneakers have walked into offices, climbed into boardrooms, and are probably just a few steps away from annual shareholder meetings. It’s no longer just a fashion statement; it’s a message: I’m modern, relaxed, but still high-performance. Or at least, I look the part.

The Other Side of the Sole: ESG and Production Issues

China, Vietnam, Indonesia, Cambodia… but also Portugal and Romania—the production map mirrors global geopolitical tensions and the eternal trade-off between cost and reputation. Some brands, like Veja and Allbirds, ride the green wave with recycled and biodegradable materials. But let’s be honest—sneakers remain a recycling nightmare.

Wealth

The Swiss Golden Visa (Yes, there is one)

Swiss pragmatism never fails to surprise. Beyond the famous forfait fiscal—that tailor-made tax regime for ultra-wealthy foreigners with no professional activity in Switzerland—the country also quietly offers its own version of a golden visa. Less flashy than the Portuguese, Maltese or Greek schemes, but just as effective.

The forfait fiscal is a simple formula: you move to Switzerland without working, and your taxes are calculated not on income or wealth, but on your estimated lifestyle expenses. From around Chf 300'000 to 400'000 per year—negotiated case by case with cantonal authorities—you get a fixed tax deal, often more attractive than standard tax rates. No need to declare global assets (unless you hold Swiss ones), and you can stay as long as you like.

But if you want to live and work in Switzerland—or relocate with your family—there’s another door: the Swiss golden visa. This residence permit is granted in exchange for a significant economic contribution, often through creating a business, generating jobs, or paying a hefty tax lump sum. It comes with access to the Schengen area, the possibility of permanent residency after five years (though not automatic citizenship), and appeals to an ultra-select crowd.

A Few Numbers:

Switzerland counts 496 golden visa holders, up 22% from 2023 to 2024. Leading nationalities? 94 Russians, 51 Chinese, 49 Brits, 38 Americans, and 19 Canadians. Unsurprisingly, the majority settle in the French-speaking cantons (292 total), with Geneva at the top (117), followed by Vaud and Valais. Apparently, the mountains and low tax rates speak the same language.

Unlike the forfait fiscal, the golden visa isn’t a tax optimization tool—it’s a residency gateway.

Meanwhile, in Uncle Sam’s Playground…

Donald Trump smelled an opportunity. In February 2025, he launched the Trump Gold Card—America’s very own golden visa. Entry fee? Usd 5 million per applicant. In return: permanent residency and a path to citizenship. No need to create jobs or open a factory—just inject cash into the U.S. economy.

The goal? Replace the EB-5, which Trump considers too “low energy” with its Usd 1 million minimum and bureaucratic hurdles. He’s even floated the idea of selling up to a million Gold Cards—bringing in a cool Usd 5 trillion (about 1.6x France’s GDP).

Whether Congress—or basic accounting—will follow is anyone’s guess.

B-R & H Finance

Founded in 2004, B-R & H Finance SA is a Swiss entity specialized in wealth management. We offer a full range of personalized and independent investment services and advisory solutions. Regulated by SO-Fit and authorized by FINMA, we are also members of the ASG (Swiss Association of Independent Asset Managers) and work with leading custodian banks.

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