Waugh McDonald Market Insight | September 2025
Sep 4, 2025
Why Are Investors So Calm Amid Global Uncertainty?
Despite political turbulence, inflation concerns and sector volatility, investor sentiment remains surprisingly composed. Morningstar’s latest market brief explores this paradox, highlighting three key scenarios shaping market behaviour:
1. Inflation and Equities
Companies with strong pricing power may benefit from inflationary pressures, supporting equity valuations.
2. Policy Volatility and Diversification
Political unpredictability such as recent tariff rulings and Fed commentary can be mitigated through disciplined diversification.
3. Valuation Momentum
While valuations may rise further, long-term discipline is essential to avoid overexposure to overpriced assets.
What This Means for Waugh McDonald Clients
Our portfolios, managed on a discretionary basis by Morningstar Investment Management are designed to navigate precisely this kind of environment. As highlighted in our recent portfolio reports.
Valuation-driven discipline helps avoid speculative traps.
Global diversification ensures resilience across regions and sectors.
Active risk management supports long-term outcomes, even when short-term noise dominates headlines.
Our Commitment
At Waugh McDonald, we believe in empowering clients with institutional-grade investment management. Whether you're invested in our portfolios, or exploring options, our partnership with Morningstar ensures your capital is stewarded with care, insight, and global expertise.
Have questions on how this affects your wealth strategy? Contact us at info@waughmcdonald.co.ke
