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Matthew McLennan: In times of Change Forget the Night Ahead

In First Eagle’s 1Q25 Market Overview, Matthew McLennan and team reflect on the shifting landscape following a major change in US political leadership and its impact on global equity markets. The report urges investors to look beyond short-term volatility and focus on enduring investment principles.

Here are the key take-aways

  • Matthew notes that the first quarter of 2025 saw a significant shift in global equity market dynamics, driven by changes in US political leadership.
  • He emphasizes the importance of not overreacting to short-term market noise, encouraging a focus on long-term fundamentals instead of attempting to predict immediate market moves
  • Matthew highlights that diversification and prudent risk management remain essential, especially amid heightened macroeconomic and geopolitical uncertainty.
  • He observes that while market leadership rotated, with some previously underperforming sectors gaining ground, the value of a disciplined, bottom-up investment approach has become even more apparent.
  • Matthew concludes that investors should “forget the night ahead”-in other words, avoid being overly influenced by the latest headlines-and instead maintain a steady, long-term perspective grounded in sound investment principles.

Given the lack of both historical comparisons and clarity around many important variables, directionality may be the best one can hope for in a forecast.

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Disclaimer of liability

The above has been prepared by Børsgade ApS for information purposes and cannot be regarded as a solicitation or recommendation to buy or sell any security. Nor can the information etc. be regarded as recommendations or advice of a legal, accounting or tax nature. Børsgade cannot be held liable for losses caused by customers’/users’ actions – or lack thereof – based on the information in the above. We have made every effort to ensure that the information in the above is complete and accurate, but cannot guarantee this and accept no liability for errors or omissions.

Readers are advised that investing may involve a risk of loss that cannot be determined in advance, and that past performance and price development cannot be used as a reliable indicator of future performance and price development. For further information please contact info@borsgade.dk

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