Fintuity Market Review: April 2025

Volatility Returns Amid Trade Uncertainty

April brought renewed volatility to global financial markets, driven largely by rising geopolitical tensions and significant shifts in trade policy. While the UK economy showed signs of softening, broader trends in equities, bonds, and commodities created both challenges and opportunities for investors.

In this environment, speaking with a certified financial adviser can be a valuable step in reviewing your portfolio, especially if you’re seeking the best investment strategies, pension planning, or inflation protection. Book a meeting with an adviser to find out more.

Trade Tensions Spark Market Swings

Markets began April on edge as fresh tariff announcements from the US triggered global reactions. The initial sell-off in equity markets was sharp, with the VIX (a key measure of volatility) spiking to its highest level since the pandemic. However, a partial reversal came mid-month as US officials adopted a more conciliatory tone, pausing certain tariff implementations and easing restrictions on technology imports.

Developed equities rose by 0.9% over the month. Growth stocks outperformed value shares, although the energy sector dragged on broader returns. Emerging markets, particularly Brazil and Mexico, proved resilient despite ongoing trade concerns.

For investors navigating this kind of volatility, a top financial adviser can offer personalised portfolio protection strategies. Whether you’re reviewing your pension, or simply want to manage risk more effectively, an independent adviser can help tailor your approach. Find a financial adviser near you for expert guidance.

Fixed Income Markets: Volatility with Opportunity

Bond markets also responded sharply to shifting risk sentiment. The yield on US 10-year Treasuries peaked at 4.6% mid-month before easing to 4.2%. Eurozone bond yields fell, supporting global aggregate bond returns. UK gilts experienced significant intra-month volatility but ended April lower, buoyed by encouraging inflation data and expectations of a rate cut by the Bank of England.

Investors focused on capital preservation may want to explore high-quality fixed income assets. A financial advisor with experience in income protection and low-fee bond strategies can help position portfolios more defensively. Book a meeting with an adviser to learn how.

Inflation and Central Bank Moves

Inflation trends played a key role in shaping market dynamics. In the US, headline inflation slowed to 2.4%, prompting markets to price in potential rate cuts. Similarly, the European Central Bank cut rates to 2.25%, citing progress in its disinflation goals. In the UK, weaker activity data combined with slowing inflation could pave the way for further rate cuts.

Understanding how inflation affects your long-term pension value or cash savings is crucial. A certified financial adviser can help you build a strategy that aligns with both current interest rates and long-term financial goals. Book a meeting with an adviser today to get started.

Credit Markets and Commodities

Credit spreads fluctuated alongside global risk sentiment. While high-yield bonds suffered during the initial tariff announcement, higher-quality credit markets remained comparatively stable due to improved corporate balance sheets.

Gold surged to a record high of $3,500 per ounce, reaffirming its role as a safe haven asset. In contrast, oil fell sharply—down 16%—as recession fears intensified and OPEC opted to increase supply. Commodities overall gave back some of their year-to-date gains.

For those seeking inflation protection or considering commodities exposure, the guidance of an independent financial adviser offering low fees and quality service is key. Find a financial adviser to explore alternative asset classes.

Equities: A Global Perspective

Equity performance varied across regions:

-US: The S&P 500 underperformed, ending the month down 0.7%, weighed down by declines in energy and healthcare.

-Eurozone: Stocks fell by 0.4% amid weaker PMI data and cautious consumer sentiment, despite the EU’s decision to pause retaliatory tariffs.

-UK: The UK equity market slipped 0.2%, impacted by both global trade issues and rising domestic tax burdens. April’s composite PMI dropped into contractionary territory.

-Japan: Japanese equities saw a slight rebound (+0.3%) as service-sector strength offset manufacturing weakness.

-China and Emerging Markets: Chinese equities rebounded late in the month after earlier tariff escalations. Emerging markets overall outperformed developed peers, with Latin America showing particular strength.

Diversification remains essential in this climate. A top-rated financial advisor can help investors assess global exposure, rebalance portfolios, and implement tax-efficient strategies with transparent fees. Book a meeting with an adviser to take advantage of global opportunities.

Looking Ahead: Stay Focused, Stay Diversified

The outlook remains uncertain. Trade tensions, central bank policy shifts, and inflation risks continue to shape investor sentiment. In such a dynamic environment, working with a certified financial adviser who offers objective, independent advice is more important than ever.

Whether you’re reviewing your pension plan, looking for investment protection, or simply seeking the best financial advice for long-term wealth growth, we’re here to help.

👉 Book a meeting with an independent financial adviser today to get personalised, professional support.

Founded in 2017, Fintuity has fast become one of the only digital Independent Financial Advisers (IFA) in the United Kingdom.  Fintuity offers a wide range of financial advisory services including pensions, protection, investments and mortgage advice. The key difference is that as an exclusively digital service, we can offer significant savings and a service that is direct to you and on demand.

Past performance is not a reliable indicator of future results. The value of investments can go down as well as up, and you may not get back the amount you invested. Always seek regulated, independent financial advice before making investment decisions.