Doug English Provides January 2025 Market and Portfolio Update
Despite a challenging December, 2024 proved to be a rewarding year for investors. Doug English opened his final monthly update of the year with a clear-eyed assessment: “2024 was a great year, but December wasn’t exactly a great month.” – English
As of midday on New Year’s Eve, the markets experienced a modest pullback, which Doug attributes to natural market corrections after consecutive years of exceptional performance.
Small Caps: -8%
Dow Jones Industrial Average: -5%
S&P 500: -2%
Bond Market: -1.5%
Though these figures reflect a dip, they follow two years of 20%+ returns, underscoring the strength and resilience of the markets. Doug congratulated clients on their perseverance:
“You have been rewarded for staying through the difficulties of 2022 and getting to the good times that produce the market’s long-term average rate of return of something like 11% for the stock market.” – English
Portfolio Adjustments and Strategic Rotations
Throughout 2024, ACT Advisors made several strategic portfolio adjustments to optimize returns and manage risk. Key highlights include:
Stock Rotation: Portfolios shifted from mid-cap stocks to large growth technology-focused ETFs (QQQ), capitalizing on the technology sector’s continued strength.
Bond Rotation: One of the three bond components was rotated into cash – a strategic step to mitigate potential inflation risks.
Doug explained the rationale behind this move:
“We continue to love it when the system does that — it’s a step away from some inflation fears that the bond market is sensing.” – English
This cautious approach aligns with the bond market’s modest 1% return for the year, reflecting ongoing concerns about inflation and policy shifts in 2025.
Looking Ahead to 2025
While 2024 rewarded long-term investors, Doug anticipates ongoing market adjustments influenced by economic factors and potential policy changes. ACT Advisors remains committed to proactive portfolio management and comprehensive financial planning.
With 2025 on the horizon, Doug expressed his gratitude to clients, highlighting the firm’s dedication to innovation and client success:
“We look forward to serving you in 2025 — look for lots of new things coming.” – English
Final Thoughts
As the markets closed on a high note, ACT Advisors remains a trusted partner in navigating the complexities of investing and wealth management. Doug English’s year-end reflections serve as a reminder of the importance of perseverance, strategic adjustments, and long-term thinking.
From all of us at ACT Advisors, we wish you a happy and prosperous New Year. Here’s to continued success and financial growth in 2025!
For more information on ACT Advisors’ approach to financial planning, visit ACT Advisors or contact the team for guidance on your financial journey.
Doug English is the founder of ACT Advisors, a fee-only fiduciary firm with offices in Asheville, NC, and Charleston, SC, serving clients nationwide. Guided by Doug’s deep expertise and proactive approach, ACT Advisors helps clients make informed financial decisions, prioritize wealth protection, and confidently navigate market complexities. As dedicated advisors and advocates, the ACT Advisors team brings an unwavering commitment to transparency, personalized planning, and empowering clients at every stage of their financial journey.
