The first quarter of 2025 reminded investors that markets don’t move in straight lines, and neither do geopolitics. After years of U.S. outperformance, markets have entered a new regime shaped by trade wars, shifting fiscal priorities, and renewed global dispersion.
Since our initial communication, post President Trump’s announced sweeping tariffs on 2 April, global markets have endured a fortnight of policy-induced chaos. We’ve seen violent market swings, sharp bond yield drops, spikes, and a series of contradictory policy announcements that have sown uncertainty across the global financial system.
March closed out the first quarter on a constructive note for local investors, with the FTSE/JSE All Share Index returning +3.6% for the month and +5.9% year-to-date. However, while headline performance was encouraging, it masked a bifurcated market beneath the surface.
The past week has brought significant market volatility, with investor sentiment shaken by a new wave of tariffs announced by the Trump administration. While moments like these are unsettling, they also highlight the value of diversified portfolios, clear thinking, and proactive decision-making, all things we’ve consistently built into our approach.
February was a month of significant market shifts, underscoring the importance of diversification and active management. Following a strong January, global equities faced headwinds as concerns over the implications of U.S. protectionist policies mounted
Developed market equities performed strongly in November (+4.8%), with the US leading the way (+7.7%) driven by the “Trump trade.” Emerging market equities, however, experienced a second consecutive monthly decline (-2.8%), largely attributed to concerns over protectionist trade policies from the incoming US administration.
January 2025 marks a promising start to the year, with the Iza Balanced and Equity Funds delivering strong results driven by strategic asset allocation and exceptional alpha from our active managers. As we continue to see the benefits of increased USD exposure following the dollar’s recent strength in Feb and we are well-positioned for further upside.
Global markets rallied in November, with U.S. equities leading the way. Domestically focused small-cap stocks surged on optimism around Trump’s pro-growth policies, while large-cap equities also gained on expectations of fiscal stimulus and deregulation.
Global markets rallied in November, with U.S. equities leading the way. Domestically focused small-cap stocks surged on optimism around Trump’s pro-growth policies, while large-cap equities also gained on expectations of fiscal stimulus and deregulation.
Developed market equities performed strongly in November (+4.8%), with the US leading the way (+7.7%) driven by the “Trump trade.” Emerging market equities, however, experienced a second consecutive monthly decline (-2.8%), largely attributed to concerns over protectionist trade policies from the incoming US administration.
