Coronation Fund Managers delivered a “resilient” first-half performance despite the risk-off move in markets as a result of the war in the Middle East.The group on Tuesday reported revenue for the six months to end-March increased by 3% to R2.09bn. EPS was 6% higher at 218c.Fund management EPS, which Coronation uses to measure operating financial performance and excludes the net impact of fair value gains and losses and related foreign exchange movements on investment securities held for seeding products, increased by 2% to 203.7c. However, HEPS decreased by 5% to 195.1c. An interim dividend of 203c per share was declared, up from 200c a year ago.Total assets under management (AUM) decreased by 2% to R746bn, mainly due to market movements during the period. Average AUM increased by 15% to R776bn, supporting the stability of the group’s revenue base. The group noted global markets ended 2025 on a high after a year of resilient growth, but this gave way to a sharp risk-off move as the geopolitical and economic consequences of the Middle East conflict became apparent. “The oil crisis has affected all economies and will profoundly affect geopolitics and geoeconomics for years to come,” said Coronation.The group said it is “deeply concerned” about the impact on households and South Africa’s nascent economic recovery. “A sharp increase in fuel prices impacts all parts of the economy and will stretch already limited household budgets,” it said.It noted some encouraging domestic developments that provide a basis for cautious optimism, including the country’s exit from the Financial Action Task Force’s greylist and an upgrade in its sovereign credit rating. These are important steps to restoring financial credibility and investor confidence over time, it said. Other positives are the improvement in state-owned entities, with a stable power supply and tangible progress in energy reform, and early signs of recovery in transport and logistics infrastructure and intensified efforts to deal with crime and corruption. “The appetite from the government to involve the private sector, leveraging available skills in assisting with these reforms, is to be commended. This reform momentum will likely increase as private sector participation gains traction,” it said.However, it has flagged water infrastructure and supply and the condition of many municipalities as areas of “grave concern”.Looking ahead, Coronation said while it is unsettling that the world is in a period of heightened volatility and uncertainty, history has shown such an environment creates exciting stock selection opportunities for patient investors. “We are confident our disciplined approach will keep us focused through volatile times, delivering excellent returns for clients who stay the course,” it said.