5 Ways to Build a Resilient Portfolio in 2025, According to EBC’s David Barrett

Navigating the financial markets in 2025 requires both caution and adaptability. David Barrett, CEO of EBC Financial Group (UK) Ltd., recently shared his framework for stability and success in turbulent times. Here are five actionable steps for investors, based on his expert insights.

1. Reduce Leverage and Stay Conservative

David Barrett, CEO of EBC Financial Group (UK) Ltd., advises investors to be careful with leverage. Using too much borrowed money can magnify both gains and losses. "People should be conservative with their leverage and their exposure," said Barrett. Keeping your leverage low helps you weather sudden market changes and gives you flexibility to act when opportunities arise.

2. Diversify Prudently Across Asset Classes

Markets are showing widening divergence between asset classes. Barrett recommends spreading investments across different sectors, such as equities, commodities, and gold. This approach can help reduce risk and smooth out returns during periods of uncertainty.

3. Monitor Gold’s Evolving Role

Gold surged over 25 percent in early 2025, briefly surpassing 3,500 US dollars per ounce, far outperforming equities and oil. However, gold prices pulled back more than 5 percent in May as inflation worries eased and trade tensions cooled. Barrett highlights that gold is a barometer for uncertainty and should be part of a diversified portfolio, but investors should be prepared for volatility.

4. Pay Attention to Sovereign Risks and Yields

Moody’s downgraded the US sovereign credit rating from Aaa to Aa1 on 17 May 2025, and weak demand at US and Japanese bond auctions has pushed long-term yields to multi-year highs. Barrett points out that these structural concerns can stir market anxiety and affect portfolio performance. Intelligent positioning, rather than simple risk aversion, is key.

5. Stay Disciplined and Prepared for Change

Discipline—not speculation—will define success for investors in 2025. Barrett encourages keeping some resources in reserve so you can respond to new developments. "Keep your powder dry so you can react to these ever-changing news cycles. It gives you the opportunity to exploit moves when they come along," he said.

Summary

David Barrett, CEO of EBC Financial Group (UK) Ltd., urges investors to reduce leverage, diversify wisely, watch gold’s changing dynamics, monitor sovereign risks, and remain disciplined. By following these steps, investors can build more resilient and forward-looking portfolios in today’s complex environment.

Disclaimer:

This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.