April 2025 Investment Committee - 3 Key Conditions to Determine the Magnitude of the Economic Downgrade

Welcome to the latest edition of Pizz-Spectives, where the Mont Wealth Investment Committee convenes for their April meeting. This month has proven tough for markets, primarily due to unexpected aggressive actions by Trump on liberation day and resulting tariff issues. US markets saw significant declines, with a 10-12% drop in the first 10 days of April, pushing bond yields up. Economic indicators suggest a potential softening, with declining shipping, tourism, and credit card receipts. The Federal Reserve might consider rate cuts if the job market deteriorates further. Our main discussion revolves around the magnitude of downside risks. Shane Lee discusses tactical asset allocation, the impact of tariffs, and inflation. The conversation extends to global market reactions, especially focusing on the US and China. Potential investment moves, including shifting from equities to bonds, are considered as the committee adopts a defensive posture given the current economic uncertainties. 00:00 Introduction and Market Overview 02:06 Impact of Tariffs on the Economy 05:31 US Market Sentiment and Indicators 07:45 Global Economic Implications 11:28 Investment Strategies and Recommendations 21:52 Conclusion and Final Thoughts