A volatile and challenging year

A volatile and difficult year on the stock markets came to a thoroughly conciliatory end and the markets rose again in December. The momentum from the previous month initially waned somewhat in the first few days of trading, but then the US Federal Reserve gave investors an early Christmas present: as at the last two meetings in September and November, the Fed did not touch the key interest rate. To the great surprise, however, Chairman Powell hinted at three interest rate cuts in the coming year, which led to temporary euphoria on the markets. Many market participants now expect interest rates to fall again by May 2024 at the latest. This has led to new all-time highs for various stock market indices over the course of the month.

Our focus on quality stocks has also continued to pay off and our fund has made strong gains. As always, however, we are acting with foresight and analyzing the situation critically. We are not jumping for joy, as we are aware of the real economic and geopolitical challenges in 2024. Our hedges therefore remain unchanged.