Newsletter 4th April

Hi Ladies,

The clock is ticking. It has come around quickly, butApril 5th (AKA tomorrow!) marks the end of the tax year, and with it, your chance to make the most of this year’s ISA allowance. If you’re a UK resident and haven’t maxed out your £20,000 limit yet, you’ve got one day left! Once the tax year resets, any unused portion of your allowance is gone for good, you can’t roll it over. In uncertain times like these, with markets reacting sharply to the so-called “Liberation Day” (don’t worry, we’ll talk more about this in a minute) in the US and ongoing supply chain concerns, having a tax-efficient investment strategy is more important than ever.

A Stocks and Shares ISA can be a powerful tool to grow your wealth, even in a volatile market. While short-term swings can feel unsettling, history has shown that those who stay invested and take advantage of opportunities tend to come out ahead . So, before the deadline hits, ask yourself: Have you done everything you can to secure your financial future? There’s still a little time in this tax year, but not much.

If you invest, your capital is at risk and your investments can go up as well as down. Past performance is not an indicator of the future. Tax treatment is dependent on individual circumstances. Please see a tax advisor if you are unsure.

Top 5 Market Headlines of the Week

Here are some of the biggest headlines we’ve seen this week that could affect you and your investments.

• 💰 Trump levies 10% tariff on UK imports, potentially impacting jobs, inflation and stock markets
• 💼 Businesses prepare for NI rises as tax raises are defended by Labour
• 🏦 Gold hits (more) all-time highs, as investors flock to safe havens
• 🚙 Tesla stock jumps in response to reports of Musk departure from Government role
• 📈 Eurozone inflation falls for second month in a row

Sources:Guardian The Guardian Reuters Financial Times Financial Times

Upcoming events

Have you ever considered that your money mindset might be holding you back? Join us for our upcoming “Mastering Your Money Mindset” webinar to find out. We’ll be joined by Vanessa Iremiren, a Wealth Advisor and money psychology advocate with over a decade of experience in banking. Passionate about helping individuals break free from financial trauma, Vanessa will share her expert insights on how to build a healthier, more empowered relationship with your money. Don’t miss this opportunity to take control of your financial future. Mark your calendar for April 30th!

Little learn of the week

The Consumer Confidence Survey

The Consumer Confidence Survey is a key economic indicator that measures how optimistic or pessimistic people feel about both their financial situation and the broader economy. Conducted monthly, it surveys a sample of households from a range of backgrounds to gauge sentiment around job security, spending habits, and future expectations. This week’s survey revealed that consumer confidence in the US has plunged to its lowest level in 12 years, as concerns over inflation, interest rates, and economic uncertainty weigh on households. When confidence is low, people tend to spend less and save more, which can slow down economic growth and impact businesses, often leading to more market volatility. For investors, this can mean choppy waters ahead, but it’s also a reminder that periods of uncertainty can also be ridden out by those who stay focused on the long term.

Major indexes & Propelle Funds

Last Week’s Major Indexes

Before we dive in…

Indices are lists of major sections of a market. Basically, they give a gauge of the health of a certain financial market. You’ll see below the value of some major global indices, as well as how much it changed last week, with a percentage.

FTSE 100 (UK):  8,261.70  -4.59%

S&P 500 (US): 5,396.52 -4.98%

Euro Stoxx 50 (Europe):  4,876.03  -8.21%

Nasdaq (US): 16,550.60 -6.61%

Dow Jones (US): 40,545.93  -4.02%

Accurate as of Friday 4th April 1130

Propelle Funds

We have a selection of funds available on our Propelle investing app, specially selected to be diverse and suitable for a range of investors. Whilst all investing should be considered long-term (with a minimum of 5 years), it can be helpful to understand how each fund is doing. Here’s some notable updates from our Propelle funds. 

How are the Propelle funds standing up in market volatility?

We have 7 funds available on the Propelle app, which fall into three main groups:

• Vanguard LifeStrategy 20%, 60% and 100% Equity 
• Blackrock MyMap Select ESG 3, 5 & 7
• HSBC Sharia Compliant

These all have a range of risk profiles, investment selection and properties. One thing that they all have in common though is that they’re globally diverse, which means that they invest into assets across the globe. This week’s tariff announcements have left no stone unturned, even penguin-inhabited islands seem to be affected. As a result, it’s been a volatile week for markets across the globe, which inevitably affects not just the funds available on the Propelle app, but also lots of others. We will keep you updated in the coming weeks as to how this volatility is playing out on the global markets and the driving factors. 

If you invest, your capital is at risk and your investments can go up as well as down. Past performance is not an indicator of future results.
Source: Blackrock

Mini Market Deep Dive

What is Trump’s ‘Liberation Day’?

U.S. President Donald Trump declared April 2nd as “Liberation Day”, marking a major shift in trade policy aimed at reducing the U.S. trade deficit. His administration imposed reciprocal tariffs on what Treasury officials call the “Dirty 15”—countries that contribute most to America’s $1.2 trillion trade gap. These tariffs target key imports, including steel, aluminum, automobiles, and even European wine, as part of a broader “America First” trade strategy. While Trump claims this move will bring manufacturing jobs back to the US, economists warn that such widespread tariffs typically lead to higher consumer prices and supply chain disruptions, potentially fueling inflation, instead of curbing it.

For the UK, this shift could bring both risks and opportunities. This new  ‘US first’ stance might make it harder for British businesses to export to America, particularly in industries like automotive and aerospace. On the other hand, trade tensions between the U.S. and Europe could push the UK into a stronger negotiating position for its own trade deals. However, market uncertainty is inevitable, especially for investors, as global markets react to shifting policies and potential retaliatory tariffs. While the full impact remains unclear, one thing is certain: this is a development the UK, and the world, can’t afford to ignore.

Fear & Greed

The Fear & Greed Index is a way to gauge stock market movements and investor attitudes. The theory is based on the idea that excessive fear tends to drive down share prices, and greed tends to see share prices rise.

Whilst it’s based on the US, it matters to us in the UK because it helps us understand where general sentiment of the US market sits, which often has very close ties to other global markets and investment portfolios.

It’s not great news again, we’re afraid. Amid a turbulent week with the so-called ‘Liberation Day’ and introduction of global tariffs, the Fear and Greed chart has tipped back into ‘extreme fear’. This reflects the ongoing uncertainty caused by tariffs which may well start to subside as the uncertainty becomes reality.

Keep your eyes open for next week’s latest and how these market movements affect your finances and investments.

If you invest, your capital is at risk and your investments can go up as well as down. Past performance is not an indicator of the future.

Love,

The Propelle Team