MP014: 2025 Market and Economic Outlook with Kara Murphy

Jason Ranallo and Kara Murphy discuss the economic and market outlook for the upcoming year. They explore various themes including market trends, the impact of U.S. debt, the performance of the Magnificent Seven stocks, and the influence of AI on productivity. The conversation also covers mergers and acquisitions, real estate investment considerations, and the effects of political administration on market dynamics. The session concludes with insights on planning for future investments and the importance of diversification.

Originally recorded and streamed on January 14th, 2025.

Takeaways

• The best-selling Barbie was Totally Hair Barbie, illustrating market surprises.
• Chewbacca Barbie is the most valuable today, showing how perceived value can differ.
• S. large cap stocks had a strong return of 25% last year.
• Don't fight the Fed; monetary policy significantly impacts stock performance.
• The Magnificent Seven stocks have shown extraordinary performance, but earnings growth is crucial.
• Diversification is essential to mitigate some risks in investing.
• S. debt is a growing concern, requiring a mix of solutions.
• AI has the potential to boost productivity but may not benefit all workers equally.

Chapters

The following chapter titles and start times are provide for those wanting to quickly jump to sections of interest.

 

00:00

Introduction and Overview of Vector Wealth Management

 

01:16

Investing and Barbie

 

04:41

Looking Back: 2024 Returns

 

05:28

The Economic Dashboard

 

06:38

The Magnificent 7: Driving Performance

 

09:40

Mag 7 vs. S&P 500, Among Others

 

11:27

Zooming Out - 200 Years

 

12:24

Jason & Kara Discussion & Market Perspective

 

14:33

Q&A Section

 

14:43

Q&A: U.S. debt as a percentage of GDP

 

16:53

Q&A: Owning assets that outpace inflation

 

17:35

Q&A: Public debt as a percent of the economy

 

18:51

Q&A: M2, The money supply.

 

19:48

Q&A: Productivity gains from AI

 

21:31

Q&A: U.S. workers left out of economic recovery

 

22:01

Mergers and Acquisitions: Current Trends

 

23:42

Real Estate and REITs: Investment Considerations

 

24:59

Q&A: Political Climate and Market Implications

 

26:51

Software & Semiconductors - Post Election

 

28:16

Bitcoin – Post Election

 

29:32

Q&A: IRA & Roth IRA

 

30:20

Q&A: 529 & Roth IRA

 

31:22

Q&A: Insurance, Fires in California

 

34:11

Q&A: Time Horizons & Asset Allocations

 

36:04

Contact Vector with Questions

 

36:28

Regulatory

 

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Kara Murphy is the Chief Investment Officer of Kestra Investment Management. She and her team collaborate with Bluespring/Kestra partner firms, including Vector Wealth Management.

 

Kara is a keynote speaker at industry conferences and a regular contributor to many television and radio programs, including CNBC, Bloomberg TV, and Bloomberg Radio. She is also regularly quoted in financial publications like the Wall Street Journal, New York Times, and Barron's. And to top it all off, Kara was recently named chief investment officer of the year in 2024's Women in Finance Awards*.

 

Hosted by Jason Ranallo, who serves as Chief Operating Officer and Director of Portfolio Management at Vector Wealth Management.

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