The Iran Conflict Makes the Energy Sector a High-Conviction Bet for the Rest of the Year

The S&P 500 energy sector has returned 30.5% this year against the index's 9.2%, and renewed Iran strikes pushed Brent back toward $90 on Wednesday.1,11 Energy carries a 0.58 correlation to front-month Brent while the index carries none, which makes it the cleanest long-oil position most equity mandates can hold.2