March 2025 | Investment perspectives
Markets under pressure: what’s driving the turbulence?
Recent volatility has unsettled investors, but understanding the forces at play and considering the long-term outlook can help put the bigger picture into perspective.
Financial markets have experienced notable volatility in recent months, with equity and bond markets reacting to a mix of economic data, policy shifts and geopolitical developments. For investors, these fluctuations can be concerning, particularly when markets move lower in tandem. However, it’s important to remember that volatility is a natural part of investing, and short-term market movements should always be viewed in the context of a longer-term strategy. While recent declines may seem unsettling, they reflect an evolving economic landscape rather than a fundamental breakdown in financial markets.
This update provides a clear explanation of what’s happening in global markets, why stock prices have fallen recently, how bond markets have responded and what the outlook is from here. It also underscores the importance of staying invested and maintaining a long-term perspective.