Your IMA Private Wealth Team

Q4 2024 Market Insights and Key Risks for 2025 Success

Whether you’re navigating volatility, strategizing for long-term goals, or simply staying informed, having a basic understanding of key trends shaping the economy and investment landscape can help. In his latest video, Justin Kittle shares analysis of what we saw in Q4 2024 and what we might expect in 2025.

Key points:

  1. 2024 marked a strong recovery and market performance: The S&P 500 experienced two consecutive years of 20%+ growth, a rare historical event. Key economic indicators such as GDP growth, unemployment, and inflation suggest the Federal Reserve achieved a soft landing.
  2. Trade policy uncertainty is a key risk for 2025: Potential tariffs and their inflationary impacts pose a significant risk to the markets and the Federal Reserve’s ability to lower interest rates. The economic landscape and potential challenges mirror those of 2018, underscoring the importance of navigating these risks.
  3. Maintain a long-term perspective amid potential volatility: While the market outlook remains constructive for 2025, corrections are expected, as they are a normal part of market cycles. Staying calm, filtering out noise, and focusing on long-term goals is essential for successful wealth management.

As always, our team is here to answer any questions you may have. Please contact us or reach out to your advisor.