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How to diversify your portfolio in an uncertain 2025

Wealth managers face tough decisions as Donald Trump’s unpredictability rattles the markets

Investors wondering what to do with their pensions, investments and savings face an uncertain environment on various fronts as the unpredictability of Donald Trump, the US president, shakes up the markets.

Equities have been volatile and the dollar has had its worst start to the year since the 1970s due to uncertainty around Trump’s tariffs and geopolitical events. Fixed income is not playing its usual “stabilising” role in a portfolio to counter inflation concerns, with some wealth managers saying they no longer believe in the traditional 60-40 model of equities versus bonds.

Gold is still seen as a haven but is at a record high price. Cash doesn’t yield as much as it used to, while some investors are pondering the end of US exceptionalism that has helped drive American stocks to record highs.

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