Markets and Performance

In December, the Federal Reserve reduced policy rates by 25 basis points, signalling a cautious yet measured approach to easing. While this tempered pace introduced some market volatility, it underscored the resilience of the global economy. In Australia, the ASX All Ordinaries closed the month down 3.1%. The Balanced, Growth, and High Conviction Portfolios declined 3.5%, 3.5%, and 2.5% respectively, reflecting broader market trends.

The Balanced Equities portfolio returned -3.5% in December. Click here to read the Balanced Equities Newsletter.

The High Conviction portfolio returned -2.5% in December. Click here to read the High Conviction Newsletter. ​

The Enhanced Yield portfolio returned 0.74% in December. Click here to read the Enhanced Yield Newsletter.

As we welcome 2025, central banks like the Federal Reserve and the Reserve Bank of Australia are likely to remain cautious, adjusting interest rates carefully amid evolving economic conditions and inflation. This will remain a critical factor shaping markets. Meanwhile, the Australian dollar's decline against the U.S. dollar presents both opportunities and challenges, especially for businesses with offshore revenues. In this dynamic environment, we remain focused on quality investments and active management to navigate risks and seize opportunities. With a cash weighting of approximately 10%, we are well positioned to capitalise on market volatility and uncover investments that support long term growth. We are confident in the outlook for our portfolios and the value they will deliver in the years ahead.

Regards

The Endeavor Team