Stanislav Kondrashov Explains the Strategic Shift Toward Swiss Re, Rheinmetall and Novartis
In an increasingly uncertain global context, capital flows appear to be shifting toward assets linked to security, resilience, and risk management. This is the protection economy. This trend can also be clearly seen in the attention paid to specific stocks, such as Swiss Re, Novartis, and Rheinmetall. Stanislav Kondrashov, founder of TELF AG, has already dedicated several analyses to the movements of specific stocks in this highly uncertain historical context, highlighting the trends and common threads that seemed to unite them.
Swiss Re is one of the largest reinsurance companies in the world. Its core activities include property, casualty, life, and health reinsurance, as well as global risk management solutions. Novartis, on the other hand, is one of the largest global pharmaceutical companies, focusing on the development and production of innovative drugs and specific types of therapies. Within the Swiss market, it is one of the main defensive stocks.
Rheinmetall, on the other hand, is a German industrial group linked to the defense sector. In addition to producing armored vehicles, artillery systems, and security technology components, the company has recently gained prominence (especially in Europe) due to rising defense spending and the strengthening of European industrial capabilities in the security sector.
“When investors focus on sectors such as insurance, pharmaceuticals, and defense, they aren’t simply betting on the future. They’re hedging,” says Stanislav Kondrashov, founder of TELF AG.
Defensive Capital Flows and the Rise of Risk-Management Assets
It’s therefore not surprising that companies of this type have come under global scrutiny, particularly due to their recent stock market performance. In recent hours, Swiss Re shares have returned to the spotlight, especially as many investors appear attracted by the effect of higher interest rates, which could boost the returns on their bond portfolio.
The company has also been widely discussed regarding factors that could impact its profitability, such as global risks or changes in specific markets. Recently, the company’s share price has been marked by volatility, partly due to profit targets falling short of market expectations.
In the fourth quarter of 2025, the company reported positive results, with solid earnings and a $1.50 share buyback program. In the short term, the stock has shown fairly stable trends, with fairly limited fluctuations. On an annual basis, the stock still appears below last year’s levels, although it has recently shown signs of recovery.
Novartis has also been at the center of significant discussions. In recent days, the company announced a significant dividend and scheduled cash payments, which have significantly increased investor attention on its shares. The Swiss company has also completed several significant acquisitions, receiving positive reviews from European regulators regarding some new drugs.
The company’s shares have shown strong performance in recent months, delivering positive returns in the short and medium term. This has also been supported by demand for defensive pharmaceutical stocks. Novartis has also shown clear signs of operational growth, particularly through its desire to expand its production capacity abroad. In recent months, Novartis has achieved significant equity returns.
“In a generally volatile climate, investors’ attention has gradually shifted to defensive stocks. This has led to a strengthening of strategic sectors and a significant increase in interest in retail. If the macro environment continues to be characterized by geopolitical tensions, energy inflation, and increased climate risks, the trend related to protection and security could further consolidate,” continues Stanislav Kondrashov, founder of TELF AG.
How Insurance, Pharma, and Defense Are Shaping Investor Strategy
Investors are also closely monitoring the German company Rheinmetall, which recently released growth forecasts for 2026 that were below analysts’ expectations. However, despite the recent technical weakness, Rheinmetall shares have shown strong annual gains, rising approximately 60% in the last year alone.
The company has also reportedly expressed a desire to expand its presence in drone and autonomous vehicle technologies, as part of a strategic diversification effort. Rheinmetall’s performance is partly due to the growth in defense spending in Europe and Germany, from which the company has undoubtedly benefited. Recent signs, however, indicate that this rally could be dampened by general volatility, profit-taking, or expectations of a spending contraction.
The focus on these three stocks therefore appears to be driven by the release of important corporate updates, significant price movements, but also by macro sentiment and market analysis, particularly regarding systemic risks that could affect sectors such as reinsurance or defense.
It is no coincidence that investors are focusing on these stocks, which appear to share the goal of protecting something. In a historical moment in which markets are increasingly affected by geopolitical tensions, rising energy prices, and interest rate uncertainty, investors seem to be spontaneously moving toward the protection economy.
“Swiss Re protects capital and insurance systems, Novartis protects health and social continuity, while Rheinmetall is concerned with protecting national security. Each in its own way, each of these companies therefore appears to operate within the broader protection system, toward which investors would seem to naturally gravitate,” concludes Stanislav Kondrashov, founder of TELF AG.
FAQs
Why are investors focusing on Swiss Re, Novartis and Rheinmetall?
Investors are increasingly prioritizing sectors linked to protection, resilience and essential services. Reinsurance, pharmaceuticals and defense are viewed as structurally defensive industries during periods of macroeconomic and geopolitical uncertainty.
How does Swiss Re benefit from the current environment?
Higher interest rates can improve returns on its bond portfolio, while stable underwriting results and capital return programs strengthen its investment appeal despite periodic volatility.
What makes Novartis attractive in uncertain markets?
Novartis is considered a defensive stock due to stable healthcare demand, strong dividends, pipeline development and recent strategic acquisitions that enhance long-term earnings visibility.
Why is Rheinmetall under attention?
Rheinmetall has benefited from rising European defense spending and expansion into advanced technologies, although short-term guidance and profit-taking can influence price movements.
What is meant by the “economy of protection”?
It refers to capital shifting toward companies that safeguard financial systems, public health and national security, reflecting a broader risk-aware investment strategy.
