SHANGHAI, May 30, 2025 /PRNewswire/ -- The asset allocation in 2025 is entering a highly uncertain restructuring cycle. The old logic of globalization is loosening, and wealth managers are facing not only short-term fluctuations, but fundamental changes in order.

In early April, the United States raised tariffs on Chinese goods to 145%, causing a sudden cooling of Sino US trade. A few weeks later, the two sides reached a preliminary agreement in Geneva, agreeing to reduce the additional tariffs from a peak of 125% to 10%.

However, for global wealth managers, this round of tariff game is still full of uncertainty, and the current "easing" is only a temporary respite. In the negotiations, the United States suspended the implementation of 24% of the "equivalent tariffs" set in April for 90 days, and imposed a 20% tariff on fentanyl citing the issue.

In this context, the ability to discern the direction of global structural fission will directly affect the effectiveness and resilience of asset management.

So, how to lay out assets in the global game? How to identify uncontrollable variables and master the controllable situation?

On May 15th, the first edition of the "N+Global Meeting Room" focusing on tariff issues, with the theme of "The survival changes that Chinese enterprises must face in 2025", conducted in-depth discussions on the trends of Sino US economic and trade, changes in the world pattern, and asset allocation strategies.

According to Noah's survey of clients participating in this event, in the current volatile market, 80% of high net worth clients are more concerned about how to effectively reduce risks, with 31% of clients realizing the necessity of achieving their goals through global diversification.

Most wealth managers have also come to realize that only by adjusting their asset allocation strategies can they cope with uncertainty calmly. As pointed out in our CIO report for the first half of 2025, strategic asset allocation adjustments and rebalancing are key measures for managing risks.

The market is unpredictable, but strategies can be effective. When the situation becomes increasingly complex, the elimination method may be a more reliable way of judgment: first identify the risks that must be avoided, and then look for opportunities that can be seized.

Noah ARK has summarized some of the guest's viewpoints and would like to share them with you.

What kind of new order will emerge globally in the future?

The international order that we are familiar with and has supported the development of individuals, businesses, and countries over the past 40 years has come to an end.

This old order, described neutrally as the 'post Cold War international order', was established from 1989 to 1991 and has lasted until recent years. Its characteristics are: openness, connectivity, and global market. This order can basically be said to have come to an end.

The future is not a 'transitional period', but a new order has begun, but we cannot yet determine its shape. Its basic characteristic may be 'based on the nation-state'.

But I'm not sure if it will become multipolar or polarized between China and the United States. From the current policies of Trump, it is more likely to develop towards multipolarity.

Now, the world is undergoing a new combination and reconstruction, and the trend is no longer an interconnected global system, but more regional segmentation and interest grouping. This will not be a matter of one or two years, but will continue for decades, possibly twenty or thirty years or even longer.

In a turbulent market environment, what is the way to manage wealth through cycles? Noah's guest believes that the success of wealth management cannot be separated from several principles that run through all stages:

Firstly, the duration of market entry is far more important than the timing of entry. Buffett is like this, only with a long slope and thick snow can he build a real snowball. Time is the best friend of compound interest, relying on short-term judgment to grasp timing is not as good as long-term holding to accumulate returns.

Secondly, a reasonable allocation of diversified assets. 'Don't put all your eggs in one basket' is already common investment knowledge, but true allocation is not just about 'diversification', but also about understanding the correlations between assets and building resilient investment portfolios.

Thirdly, correctly understand and take risks. Risk and return always go hand in hand. Even if investors want to completely avoid risks, they will still be exposed to the risk of inflation. Meanwhile, emotional interference is an invisible killer. Market fluctuations are inevitable, but greed, fear, and conformity are the three emotions that need to be overcome the most.

Fourth, regularly review and dynamically adjust asset structure. The market is changing, the environment is changing, and our configuration cannot remain unchanged. Especially in the current context of complex Sino US relations and frequent information fluctuations, it is even more important to remain calm and avoid being influenced by short-term emotions for long-term judgments.

The market is unpredictable, but strategies can be effective. When the situation becomes increasingly complex, the elimination method may be a more reliable way of judgment: first identify the risks that must be avoided, and then look for opportunities that can be seized.

Source: ARK Wealth