In April 2025, the average prudential balanced portfolio returned 1.9% (March 2025: 0.1%). The top performer is the Allan Gray Balanced Fund, with 2.6%, while the Lebela Balanced Fund, with 1.0%, takes the bottom spot. Allan Gray Balanced Fund took the top spot for the three months, outperforming the ‘average’ by roughly 3.2%. The Namibia Coronation Balanced Fund underperformed the ‘average’ by 1.7% on the other end of the scale. Note that these returns are before (gross of) asset management fees.
The Monthly Review of Portfolio Performance to 30 April 2025 reviews portfolio performances and provides insightful analyses.
Conventional Investment Wisdom is Dead: Rethinking the future of investing
For many years, the investment world has relied on conventional wisdom, focusing on long-term global economic stability and diversification. But today, that wisdom is outdated. The international political and economic landscape is shifting, especially with the rise of China as a competitor to the United States. Since World War II, the world has been largely shaped by US economic interests; however, the US now views China as a serious challenge to its global influence.
The US-China Economic Decoupling
The turning point began during Donald Trump’s first presidency. In 2018, the US imposed tariffs on Chinese goods, sparking an economic decoupling. This trade war wasn’t just about tariffs—it was about reshaping the global economy. The US started encouraging companies to bring manufacturing back home, particularly in critical sectors like semiconductors and pharmaceuticals.
Under President Biden, the focus shifted from "decoupling" to "de-risking," but the core strategies remained the same: restricting Chinese access to advanced technologies and offering incentives for domestic manufacturing. The US has made it clear that economic self-sufficiency and supply chain independence are top priorities. Meanwhile, it continues to use its dominance in the international financial system to pressure countries that resist US influence.
The Road to Conflict
The US isn’t just reshaping its economy—it’s preparing for a broader geopolitical shift. With global tensions rising, especially regarding Russia and China, the US seems to be laying the groundwork for a potential future conflict. The three US administrations that have followed similar policies suggest a long-term strategy to maintain global dominance, even if it requires conflict...
Read paragraph 6 of the Monthly Review of Portfolio Performance to 30 April 2025 for our views on investment markets and global political developments. It also reviews portfolio performances and provides insightful analyses.