Since the start of the Trump presidency, investors have been faced with a stark contrast between a volatile news cycle and resilient market performance. From threats to Federal Reserve independence amid a DOJ investigation, wild headlines regarding Greenland and Iran, the “wall of worry” has rarely been higher. And yet global markets remain near all-time highs. This resilience is driven by the same engine that fuelled the strong performance of 2025: corporate earnings remain robust, and the macro backdrop remains supportive of risk assets.

The themes that dominated markets last year have carried into the new year, dispelling any expectation that 2026 would be ‘quieter’, highlighted by the US’s audacious extradition of Nicolás Maduro from Venezuela and President Trump’s announcement that he intends to pursue the acquisition of Greenland.

2025 will be remembered as a year in which uncertainty and strong investment performance were not mutually exclusive. For the first time since 2019, global equities, bonds, and commodities all delivered positive returns, supported by AI-driven investment themes, central bank easing, and falling tariffs.

After a year marked by uncertainty and rising trade tensions, financial markets were calmer in December. Market leadership broadened, with value stocks outperforming growth. Meanwhile, international markets once again outperformed US equities, benefiting investors with well-diversified portfolios.