Investment in 2025: strategies for a transforming world

2025 is projected to be a year of both opportunities and challenges for financial markets. With moderate growth, monetary adjustments, and the rise of Artificial Intelligence (AI), we at SURA Investments anticipate an environment of constant transformation.
These insights were analyzed by our experts during the webinar “Investment in 2025: Strategies for a Changing World”, moderated by Max Pinto, our Investment and Product Manager in Chile, with contributions from our spokesperson, Mauricio Guzmán, Head of Investment Strategy at SURA Investments.

Global economic environment

We foresee that the coming year will be marked by moderate global economic growth. In the case of the U.S., we project a 2% growth rate, driven by expansive fiscal policies and a less restrictive interest rate environment. Europe could benefit from the resolution of the conflict in Ukraine and the normalization of interest rates by the European Central Bank (ECB). In Japan, we anticipate that consumption will improve due to rising wages and controlled inflation. In China, however, government stimulus measures will be the key driver of demand, although structural challenges are expected to persist.

Regional opportunities

According to Mauricio Guzmán, the U.S. equity market will begin to normalize, moving away from the high valuations of the past two years. As a result, we expect a 10% return for the S&P 500, which remains an attractive expansion considering that inflation is being brought under control. Technology companies will continue to stand out, although the gap with other sectors will narrow, creating opportunities for industries such as financials and utilities. Additionally, small and medium-sized enterprises (SMEs) focused on domestic consumption will also play a significant role outside the index.

In Latin America, Chile, Peru, and Colombia stand out. Chile could see improved performance in the IPSA index, and corporate debt in the region offers attractive returns. However, we advise caution in Brazil due to persistent inflation and in Mexico due to potential trade policies under a Trump administration.

On the other side of the world, in Asia, Japan stands out for its corporate reforms and improved corporate governance. Meanwhile, in China, government stimulus measures could boost domestic demand, although structural risks remain.

Projections by Asset Class

Beyond equities, we also see opportunities in fixed income. We prioritize shorter-duration assets due to a possible rise in the yield curve. High-yield corporate debt will be key in both the U.S. and Latin America, as we aim to capitalize on the high initial yields of bonds.
In real estate, we expect a rebound in transactions within the residential, logistics, and multifamily sectors, driven by lower financing costs. Many transactions postponed in recent years are likely to materialize in 2025.

For commodities, we project stable Brent oil prices, with volatility tied to geopolitical factors. Copper demand may slow, with expected growth of 3.2%. Meanwhile, gold could face a correction due to the strength of the dollar and rising U.S. bond yields. However, central bank gold purchases may help cushion this decline.