MARKET INSIGHTS

This is supposed to be a commentary on the events of the first quarter of 2025, but the most impactful economic event in 2025 happened to occur in the first two weeks of April. This commentary would be pretty useless if we did not discuss it, so please forgive us for exchanging the first quarter for the first seven twenty-fourths of 2025.

CORE EQUITY COMMENTARY

The first quarter witnessed the return of volatility to equity markets. The Core Equity Team has been preparing for this for a couple of quarters, and the commentary covers the highlights, contributors, and detractors from the first quarter. The team also discusses portfolio positioning in light of the stock volatility to start Q2.  We are committed to navigating this environment with prudence and discipline. 

FIXED INCOME COMMENTARY

The first quarter of 2025 marked a shift in the fixed income market. While the Federal Reserve's actions remain key, the bond market is increasingly shaped by fiscal policies emanating from the White House, particularly those related to trade and tariffs. These policies have taken on a larger role in driving near-term economic growth and inflation expectations, which has added complexity to the Fed’s monetary policy efforts.