One Four Nine Portfolio Management Portfolio Review – Q2 2025 – Issue 24
This is the latest One Four Nine Portfolio Management (OFNPM) portfolio review providing investors, clients and advisers with an easy to digest overview of what’s happening in the markets globally, alongside comparisons of OFNPM’s portfolio performance each quarter and throughout the year.
The second quarter of 2025 has proved to have been a tumultuous one with significant market volatility in equity markets. This was driven by the announcement of the US government in April of tariffs that every country in the world would face from the US followed swiftly by either changes to those rates or delays in their introduction, generating significant uncertainty around the scale, timing and their effect on economic growth and company earnings.
Markets abhor uncertainty and acted exactly how you would expect by selling off sharply and then rebounding almost as sharply. With more clarity as the quarter moved on, markets calmed down and resumed their upward march.
By focusing on high-quality businesses at reasonable prices, we aim to balance opportunity with risk, preserving your capital while positioning for long-term growth.
Dr Bevan Blair
Chief Investment Officer
Inflation still remains a threat to growth. Central banks have seen inflation fall back towards their targets, yet remain wary of it reigniting. In the UK, inflation stood at 3.6% in June, well above the 2% target. Therefore, the Bank of England (BOE) has had little room to cut rates and did so only once over the quarter to 4.25%. The US Federal Reserve (FED) is in a similar position where inflation is at 2.7% and they offered no cuts to interest rates over the quarter despite protestations from the White House. The FED’s target rate upper band stands at 4.5% today. Only the European Central Bank (ECB) has actively pursued a rate-cutting agenda, cutting twice over the quarter to 2.15% from 2.65%. This is because they see less inflationary pressures, and the current inflation rate for the eurozone stands at 2.3%, much closer to target.
You can read the full One Four Nine Portfolio Management Portfolio Review – Q2 2025 – Issue 24 below.
The next One Four Nine Portfolio Management Review will be Q3 2025 – Issue 25.
For more information on our investment philosophy and Portfolio Management offering, you can find out more on our What We Do page.
All investment views are presented for information only and are not a personal recommendation to buy or sell. Past performance is not a reliable indicator of future returns, investing involves risk and the value of investments, and the income from them, may fall as well as rise and are not guaranteed. Investors may not get back the original amount invested.
All data is at 30 June 2025. One Four Nine Models are benchmarked against UK CPI and any other benchmark has been displayed for comparative purposes only and is not a benchmark for the Models. Performance figures are net of underlying fund fees and include One Four Nine Portfolio Management’s Management Fee of 0.20%. All model portfolio performance data is sourced from One Four Nine Portfolio Management. All other data is from Bloomberg and Morningstar.
This service is intended for use by investment professionals only. This document does not constitute personal advice. If you are in doubt as to the suitability of an investment, please contact your adviser.
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