Philip Petursson, chief investment strategist of IG Wealth Management, shares his projections for market trends in 2025
“If you look at 2024 and 2023 a lot of the gains were driven not by earnings growth, but by valuation expansion like PE multiples increasing by 20-30 per cent in some markets. That’s what drove the TSX, that’s what drove the S&P 500. Eventually the baton is going to get handed off to earnings,” he said.
IG Wealth Management’s 2025 market outlook noted that investors may wish to take a more selective approach next year, noting that amid a broadly supportive economic backdrop, it will be important to identify sectors and regions where valuation aligns with growth prospects.
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