Q4 Market Commentary Video 2024

William Marshall, Chief Investment Officer, shares the main themes from Q4 2024.

Watch our fourth quarterly market update video of the year, as William Marshall chats through the key themes that dominated the headlines:

• The fourth quarter of 2024 was marked by President-elect Trump’s victory, triggering a wave of “Trump trades” as investors shifted towards sectors expected to benefit from his administration. In the UK, the Chancellor’s first Budget introduced significant increases in government spending and borrowing.
• Global equities, especially in the US, performed well, while regions exposed to potential US tariffs, such as Europe and Asia Pacific, struggled. Bond markets faced challenges as expectations for interest rate cuts in the US and UK were pushed back.

Looking ahead 

2025 is shaping up to be the “year of election fallout,” with major themes including:

1. The potential impact of Trump’s trade policies, particularly tariffs, and how other nations may respond.
2. The evolving inflation and interest rate landscape, with central banks likely to take a cautious approach to rate cuts.
3. The importance of diversification, as US equity valuations appear stretched while other regions may offer better opportunities.