Reflecting on our Investment Review and Outlook webinar
- Leanne Lancaster, Communications Manager
- 10 December 2024
- 5 mins reading time
As we approach the end of 2024, it's essential to reflect on the financial markets' performance and prepare for the year ahead. Steve Mann, Director of Investments at Schroder's Personal Wealth, hosted a webinar to discuss the key events of 2024 and what lies ahead in 2025.
Steve was joined by an expert panel including Vanessa Hubbard (Personal Wealth Adviser), Alan Goodman (Chief Investment Officer) and George Brown (Senior Economist, Schroders).
A range of topics were covered by the panel who gave an overview of the year, their views on 2025 and answered questions from the audience on a range of topics.
Key points from 2024
Economic outlook: The global economic outlook improved significantly, with central banks cutting interest rates, driving positive market returns. The Bank of England's decision to cut interest rates to 4.75% in November stabilised mortgage rates and boosted consumer confidence. Similarly, the Federal Reserve's rate cut in November reflected easing inflationary pressures in the US.
Market performance: Despite initial challenges with sticky inflation, the easing of interest rates led to strong market returns towards the end of the year. Growth is expected to be resilient globally, with the US leading the way.
Investment strategies: Schroders Personal Wealth introduced new funds and made strategic changes to better manage interest rate risks and market volatility. This included launching low-duration funds (debt funds that invest in short-term debt securities) and removing alternatives (a financial asset that does not fit into the conventional equity/income/cash categories) from client portfolios.
Actions for 2025
Stay informed: Clients are encouraged to stay informed about the changes in their portfolios and reach out to their adviser for any clarifications.
Embrace tactical positioning: Schroders introduced tactical funds to manage short-term market positions and protect against potential risks. Clients should understand how these funds align with their risk profiles.
Focus on long-term goals: While managing short-term volatility, or market ups and downs, it's crucial to maintain a long-term perspective on investments. The changes made are designed to provide stability and growth over time.
As we look ahead to 2025, the US election and its implications on the global economy will be a key focus. While there may be volatility, the overall outlook remains positive, with opportunities for active investors to capitalise on market movements.
Important information
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