Trade and internal tensions are likely to play key roles in 2025, as potential tariffs and political disruptions cloud the picture.

The Fed has cut policy rates by 75 basis points since September only to see longer-term Treasury yields and mortgage rates increase by the same degree. We take a closer look at this divergence and its implications.

We explain why the details associated with the tariff saga are less important than overall investment strategy, and why investors should think about their long-term strategic allocation as an anchor during periods of extreme volatility.