General Portfolio Risks. Capital risk – the value of your investment will vary and is not guaranteed. It will be affected by changes in the exchange rate between the base currency of the portfolio and the currency in which you subscribed, if different. Equity risk – in general, equities involve higher risks than bonds or money market instruments. Geographic concentration risk – to the extent that a portfolio invests a large portion of its assets in a particular geographic area, its performance will be more strongly affected by events within that area. Hedging risk – a portfolio's attempts to reduce or eliminate certain risks through hedging may not work as intended. Investment portfolio risk – investing in portfolios involves certain risks an investor would not face if investing in markets directly. Management risk – the investment manager or its designees may at times find their obligations to a portfolio to be in conflict with their obligations to other investment portfolios they manage (although in such cases, all portfolios will be dealt with equitably). Operational risk – operational failures could lead to disruptions of portfolio operations or financial losses.
Portfolio Specialist, Michele Ward, shares the team’s outlook for US smaller companies in 2025 and the potential opportunities and risks to watch.
A brief introduction to our US Smaller Companies Equity Strategy, including why we believe an active, strategic allocation to the asset class makes sense.
“Shoot-the-lights-out” stocks with explosive earnings growth rates may capture the markets’ attention, but they are rarely long term winners. Identifying companies that have the potential for durable high growth demands research that goes beyond the day-to-day headlines.
Maximising your opportunity set across styles and market caps is one thing. Being able to evaluate and form a view on a much broader universe is another. It requires an incredible depth of talent, experience, knowledge and insight to fully exploit the flexibility that an all-cap approach can offer.
US equities continue to dominate global stock markets, providing access to many of the world’s leading companies. But investors worried about relying on the market’s continued strength may want to consider a strategy that aims to blend the best of active and passive investing.
Our success in US Equities is driven by 87 years of expert analysis. We’re constantly asking the right questions to the right people, to make better investment decisions.
The shrinking U.S. stock market poses a challenge for investors
202409-3833299
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