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Iran’s foreign minister just found a surprising point of agreement with U.S. President Donald Trump.
But the moment of apparent unity did not last long.
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After Trump declared that the U.S. was “taking over” the Strait of Hormuz and proposed charging a 20% fee on cargo moving through the critical waterway, Iranian Foreign Minister Seyed Abbas Araghchi responded with four words few expected (1).
“POTUS is absolutely right.”
Araghchi agreed that whoever provides safe passage for commercial vessels through the Strait should be paid for the service.
Then came the catch.
“Iran has always been the GUARDIAN of the Strait and will remain so FOREVER,” he wrote on X.
And as for Trump’s proposed price?
“20% is of course too much. We will be fair.”
It was a sharp response that appeared to turn Trump’s own proposal against him. Iran was not conceding control of the Strait to Washington. It was asserting that Tehran — not America — has the right to protect the waterway and potentially collect the money.
That sets up a dangerous new confrontation over one of the most important shipping routes on Earth.
Trump had told Fox News (2) earlier Monday that the U.S. would hit Iran “very hard” and take control of the Strait following the latest exchange of strikes between Washington and Tehran.
“We’re going to keep the Strait and we’ll probably run it,” he said. “We’ll become the guardian of the Strait. Maybe we’ll call it the guardian angel of the Strait, and we should be reimbursed for that.”
Trump later announced (3) that the U.S. would reinstate a naval blockade targeting Iranian ships and customers. He added that the money from his proposed 20% cargo fee would cover the cost of providing safety and security in the region.
Now both sides appear to agree on one thing: Control of the Strait could come with a price tag.
They just don’t agree on who gets to collect it.
A toll booth on the world’s energy highway
The Strait of Hormuz may look like a narrow strip of water on a map, but its economic reach extends far beyond the Middle East.
The vital waterway serves as the main export route for Gulf oil and gas, handling roughly one-fifth of global supply.
The U.S. Energy Information Administration (4) has described it as one of the world’s most important oil chokepoints. And, as the past few months have shown, any disruption there can send shock waves through global energy markets.
Now more pressure could be coming.
A 20% fee on cargo could raise transportation costs. A renewed blockade could limit supply. And another round of military escalation could force insurers and shipping companies to demand a much higher price for entering the region.
Those added expenses could eventually make their way into the cost of oil, gasoline, air travel, manufacturing and goods transported around the world.
After Trump announced that the U.S. would reinstate the blockade, crude oil prices shot up 9.4% (5).
Economists often warn that prolonged energy shocks can contribute to inflation and slower economic growth. For households already facing elevated living costs, that combination could make budgets even tighter.
That said, history shows that savvy investors have often found ways to protect their wealth from inflation’s bite — no matter what shocks the world throws their way, or based on the whims of Washington.
Read More: Millionaires under 43 hold only 25% of their wealth in stocks. Here’s where their money is actually going
A safe haven shines again
When it comes to preserving wealth through uncertainty and fighting inflation, few assets have stood the test of time like gold.
Its appeal is simple: unlike fiat currencies, the yellow metal can’t be printed at will by central banks.
Gold is also considered the ultimate safe haven. It’s not tied to any one country, currency or economy, and in times of economic turmoil or geopolitical uncertainty, investors often flock to it — driving prices higher.
Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, has repeatedly highlighted gold’s role in a resilient portfolio.
“People don’t have, typically, an adequate amount of gold in their portfolio,” Dalio told CNBC last year. “When bad times come, gold is a very effective diversifier.”
Over the past five years, the price of gold has surged by more than 120%.
Other prominent voices see further potential. JPMorgan CEO Jamie Dimon has said that in this environment, gold can “easily” rise to $10,000 an ounce.
One way to invest in gold that can also provide significant tax advantages is to open a gold IRA with the help of Goldco.
Gold IRAs allow investors to hold physical gold or gold-related assets within a retirement account, combining the tax advantages of an IRA with the protective benefits of investing in gold. This could turn it into a compelling option for those wanting to ensure their retirement funds are diversified during rough economic times.
Goldco offers free shipping and access to a library of retirement resources. Plus, the company will match up to 10% of qualified purchases in free silver.
And, if you’re curious about whether this is the right investment to diversify your portfolio, you can download your free gold and silver information guide today.
Turn higher prices into potential income
Gold is not the only hard asset investors turn to when inflation risk returns. Real estate has also proven to be a powerful hedge — with one added advantage: It can produce income.
When inflation rises, property values often increase as well, reflecting the higher costs of materials, labor and land. At the same time, rental income tends to go up, providing landlords with a revenue stream that adjusts for inflation.
Over the past ten years, the S&P Cotality Case-Shiller U.S. National Home Price NSA Index has jumped by 88% (6), reflecting strong demand and limited housing supply.
Of course, high home prices can make buying a home more challenging, especially with mortgage rates still elevated. And being a landlord isn’t exactly hands-off work — managing tenants, maintenance and repairs can quickly eat into your time (and returns).
The good news? You don’t need to buy a property outright — or deal with leaky faucets — to invest in real estate today. Crowdfunding platforms like mogul offer an easier way to get exposure to this income-generating asset class.
As a real estate investment platform offering fractional ownership in blue-chip rental properties, mogul gives investors monthly rental income, real-time appreciation and tax benefits — without the need for a hefty down payment or 3 a.m. tenant calls.
Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you. In other words, you gain access to institutional-quality offerings for a fraction of the usual cost.
Each property undergoes a rigorous vetting process, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average annual IRR of 18.8%. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.
Sign up for an account and browse available properties here to start investing today.
Another option is Lightstone DIRECT, which gives accredited investors access to single-asset multifamily and industrial deals.
Lightstone DIRECT’s direct-to-investor model ensures a high degree of alignment between individual investors and a vertically-integrated, institutional owner-operator — a sophisticated and streamlined option for individual investors looking to diversify into private-market real estate.
With Lightstone DIRECT, accredited individuals can access the same multifamily and industrial assets Lightstone pursues with its own capital, with minimum investments starting at $100,000.
Protect your wealth before the next quake
Geopolitical shocks rarely give investors much time to prepare.
Oil prices can jump before consumers feel the difference at the pump. Gold can rally before nervous investors decide they need protection. And stocks can sell off before anyone knows whether a conflict will escalate or fade — or whether an IPO will make good on its promise.
That makes preparation more important than prediction.
A financial advisor can help investors assess how exposed their portfolios are to inflation, interest rates, market volatility and geopolitical shocks — and build a strategy around their long-term goals.
If you have a portfolio of $250,000 or more, platforms like WiserAdvisor can connect you with vetted professionals who specialize in this kind of planning.
Simply answer a few questions about your savings, retirement timeline and overall investment portfolio.
From there, WiserAdvisor reviews its network to match you — for free — with up to three vetted, reputable advisors aligned with your specific needs.
You can then schedule no-obligation consultations with your matches to determine who is the best fit for your long-term goals.
WiserAdvisor is a matching service and does not provide financial advice directly. All matched advisors are third parties, and specific financial results are not guaranteed.
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Article Sources
We rely only on vetted sources and credible third-party reporting. For details, see our ethics and guidelines.
@araghchi/ X (1); Fox News/ YouTube (2); @realDonaldTrump/ Truth Social (3); U.S. Energy Information Administration (4); NBC News (5); S&P Global (6)
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.