US Intervention in Venezuela Recasts Energy and EM Risk

This report by Allianz Global Investors’ chief economist and portfolio management team evaluates how the US seizure of Nicolás Maduro reshapes geopolitical risk, energy markets, and emerging-market exposures. 

• The intervention marks a material shift in US foreign policy, raising regional stability risks and resetting assumptions around sovereignty and security.

• Oil markets may see short-term volatility, but any meaningful recovery in Venezuelan output would require years of investment and policy stability.

• Spillovers extend across EM debt, FX, and equities, with political risk repricing likely to dominate near-term allocation decisions.

The full report examines where second-order effects may emerge—and how investors can position for a more intervention-prone global backdrop.