Sep-25: Insights

​Read the latest Avastra Fund insights on Markets, Equities, Bonds and Alternatives for September 2025.

SEPTEMBER 2025 UPDATE

MARKETS

​Global equity markets continued their recovery, as US equities hit new highs on AI productivity expectations, earnings resilience and US rate cut expectations. Non-US markets also delivered strong returns.

The focus on the potential for productivity gains from the AI revolution and resulting earnings growth has powered equities higher, outweighing the multiple geopolitical risk factors.
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UK longer-dated bonds remain under pressure caught between downside risks to growth, upside risks to inflation and the UK’s fiscal position. 

EQUITIES

The VT Avastra Global Equity Fund returned +2.07% for the month and +8.97% YTD. 

• There were no changes to the fund this month. 

The fund provides a “4-in-1” active allocation strategy across Regional, Sector, Factor and Manager strategies. 

BONDS

​The VT Avastra Global Fixed Income Fund returned +0.99% for the month and +2.72% YTD. 

• There were no changes to the fund this month. 

The fund provides an active allocation approach to managing duration and credit quality exposure within the Bond sector. 

ALTERNATIVES

The VT Avastra Global Alternatives Fund returned +3.08% for the month and +10.00% YTD. 

• Switches include selling out from World Energy Sector into Physical Gold. 

The fund provides both asset-based and risk-based diversification, as an alternative to equities and bonds.