2025 Market Review

Overview

Last year proved another positive one for stock markets, with investors recording a third consecutive year of gains.

Global equity markets returned around 12.6% in GBP terms, supported by resilient economic growth, easing inflation and solid corporate earnings.

While the GBP strengthened over the year – dampening overseas returns for UK investors – confidence improved as monetary policy shifted decisively away from peak restriction.

Despite ongoing geopolitical and policy uncertainty, markets remained well supported by fundamentals. Corporate earnings proved more resilient than expected, labour markets softened only gradually, and inflation continued to fall back towards central bank targets across most major economies.

Full update below…