IN FOCUS6-8 min read
Schroders Equity Lens May 2025: your go-to guide to global equity markets
The third best start to a year for Europe vs US in more than half a century
Lees volledig rapportSchroders Equity Lens May 2025
54 Pagina's
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The May 2025 edition of the Schroders Equity Lens is now available: Schroders Equity Lens
- If you fell asleep for April you’d think not much happened: the rebound completely erased the fall in many markets (slide 5).
- 2025 is the third best start to a year for Europe vs US in more than half a century: 22% outperformance (slides 6, 12, 15).
- 2025’s sharp falls are not unusual: 10%+ falls happen in more years than not, 20% falls happen once every four years (slide 7). There is always a reason to worry but, in the long run, stocks have beaten bonds which have beaten cash (slide 8).
- Europe’s outperformance means the valuation discount vs the US has declined. Japan is outright cheap, as are smaller companies (slides 9, and 25-28).
- Consensus earnings growth expectations have fallen back slightly for 2025 but not for 2026-27. US is expected to outperform (slide 10).
Chart of the month
Lees volledig rapportSchroders Equity Lens May 2025
54 Pagina's
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