Investors could get caught in a tug of war between valuations and momentum, whether to stay home or look abroad
The main conceptual idea of the text is that 2025 will be a year of high volatility for investors due to multiple uncertainties, particularly trade policy threats from the potential return of a Trump administration and concerns about a tech bubble. Key factors cited include: * Trade War Risk: Potential 25% tariffs on Canadian goods by a Trump administration could disrupt investment flows and create market instability. * Tech Bubble Concerns: The possibility of a tech bubble burst adds another layer of risk to the investment landscape. * Canadian Dollar Depreciation: The weakening Canadian dollar further compounds the uncertainty for businesses and investors alike. The overall message is that investors should brace for a challenging year and should carefully consider their investment strategies in light of these potential risks.
