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- Endowus Core Equity Portfolio delivered +5.1% in Q2 2025 on the back of a rebound in equity performance this quarter, but underperformed the global equity market.
- The 100% Core Fixed Income Portfolio rose +1.0% over the quarter, but slightly underperformed the global fixed income market.
- All Income Portfolios delivered positive returns in Q2. On a relative performance basis, the Stable Income and Higher Income Portfolios outperformed, but the Future Income Portfolio underperformed.
- Endowus Cash Smart Portfolios continued to deliver positive returns and performed according to their risk levels, with Ultra delivering the best performance in the second quarter of 2025.Â
- For more on the market insights, click here.
Endowus Flagship Portfolios â Cash/SRS

Key performance highlights:Â
The Flagship Cash/SRS 100% Equity Portfolio returned +5.1% in Q2 2025. While the Liberation Day reciprocal tariff announcement at the start of Q2 led to a selloff in equities, equity markets subsequently rebounded as recessionary fears eased after the US subsequently softened its trade policy temporarily.Â
Despite the positive performance, the Portfolio underperformed the broader global equity market which returned +5.7%. The portfolioâs structural overweight to value stocks was a drag on relative performance as value stocks underperformed their growth counterparts. In particular, technology sector stocks, which the portfolio is underweight in, was the top performing equity sector following renewed investor confidence and a strong corporate earnings season.
The Amundi Index MSCI Emerging Markets Fund, which returned +6.3% this quarter, was the strongest performer in the equity sleeve. This was on the back of the good performance of emerging market equities, which outperformed their developed market counterparts. On the other hand, the Dimensional Global Core Equity Fund, which returned +4.0%, was the weakest performer in the equity sleeve. This was due to its overweight in value stocks, which saw modest performance compared to growth stocks this quarter.Â
The Flagship Cash/SRS 100% Fixed Income Portfolio returned +1.0% in Q2 2025. While bond markets saw a spike in yields following the Liberation Day reciprocal tariff announcement, a de-escalation of trade tensions supported bond prices, rendering global bonds to end the quarter in positive territory.Â
Despite delivering positive returns, the Portfolio slightly underperformed the global bond market, which delivered +1.1%. The underperformance was primarily due to the iShares Emerging Markets Government Bond Index Fund, which is also the weakest performer in the fixed income sleeve. While emerging market bonds delivered positive returns this quarter, the iShares Emerging Markets Government Bond Index, which holds USD denominated emerging market sovereign bonds that are unhedged against SGD, returned -2.1% in Q2 as USD continued to weaken.
On the other hand, the PIMCO GIS Emerging Markets Bond Fund delivered +3.1% and was the best performer in Q2. This was driven by the robust performance of emerging market bonds this quarter due to improving economic fundamentals and more accommodative central bank stances in emerging market countries.Â
Endowus Flagship Portfolios â CPFÂ

Key performance highlights:Â
The Flagship CPF 100% Equity Portfolio gained +5.1% in Q2 2025, underperforming the broader global equity market, which returned +5.7%. Similar to the Flagship Cash/SRS Portfolio, the CPF Flagship Portfolioâs underperformance was primarily due to its structural overweight to value stocks, which underperformed their growth counterparts.
The Dimensional Emerging Markets Large Cap Core Equity Fund returned +5.9% in Q2 and was the best performing fund in the equity sleeve. This was on the back of emerging market stocksâ outperformance compared to their developed market counterparts. On the other hand, the Schroder Global Emerging Market Opportunities Fundâs stock selection did not manage to capture the good performance of emerging market equities this quarter. The Fund returned +3.6% and was the weakest performer in the equity sleeve.
The Flagship CPF 100% Fixed Income Portfolio gained +1.4% in Q2 2025, outperforming the broader global fixed income market, which returned +1.1%. The Portfolioâs outperformance was driven by its overweight to Singapore bonds via the Eastspring Singapore Select Bond Fund, which outperformed the broader global fixed income market and is the Portfolioâs best performing fixed income fund this quarter. All the Portfolioâs underlying funds delivered positive returns this quarter, with the weakest performer being the Amundi Global Aggregate Bond Fund, which passively tracks the global fixed income index.Â
Endowus ESG PortfoliosÂ

Key performance highlights:Â Â
In Q2 2025, the ESG Equity portfolio exhibited a robust performance, delivering the overall Equity benchmark performance but falling short of the strong rebound of the Growth index.Â
The portfolio aims to track the overall broad index, but ESG offers some exposure to growth themes. The difference came from the month of June, where the Growth index delivered +4.3%, significantly outperforming the broad index. Additionally, the quality biased Stewart funds detracted overall and underperformed the Emerging Market index.
The ESG Fixed Income Portfolio continued its outperformance in Q2 2025 and delivered +0.6% excess return against the benchmark. All of the underlying funds outperformed the benchmark in the quarter, with JPM Global Bond Opportunities Sustainable Fund being a standout outperformer, delivering +2.9% in Q2.Â

The Endowus ESG Portfolios not only focus on financial returns but also on promoting positive societal and environmental impact. We are committed to being responsible stewards of capital, as demonstrated by our active review of ESG data to inform our investment decisions.
For instance, the ESG 100% Equity Portfolio aligns better with the United Nations Sustainable Development Goals, showcasing lower greenhouse gas emissions and enhanced board gender diversity compared to the global equities.
Our ESG 100% Fixed Income Portfolio also emphasises investments that contribute to environmental sustainability and social well-being.Â
The PIMCO GIS Climate Bond Fund allocates over 75% to green bonds. The PIMCO GIS ESG Income Fund tilts towards companies or issuers with positive ESG characteristics, seeks a lower carbon footprint and actively engages issuers. The Allspring Climate Transition Global Investment Grade Credit Fund targets to decarbonise the Fund by 2050 and excludes securities exposed to ESG risks.Â
Endowus Factor by Dimensional Portfolios

Key performance highlights: â
The Factor 100% Equity Portfolio underperformed its benchmark over the quarter, while the Factor 100% Fixed Income portfolio slightly outperformed the global fixed income markets.
The Portfolio's performance during the quarter was driven by the strong contributions from regional allocations, particularly the Dimensional Emerging Markets Sustainability Core Equities Fund and the Dimensional Pacific Basin Small Companies Fund. These investments played a significant role in boosting the Portfolio's overall performance. However, the Dimensional Global Core Equity and US Core Equity Funds underperformed the Morningstar Global Markets and S&P 500 Index, respectively, as US large cap tech was the largest driver behind global equity performance in Q2, while Dimensional factors overweight value and small cap.
The Fixed Income Portfolio outperformed the Bloomberg Global Aggregate Index slightly. The Global Core Fixed Income Fund contributed to outperformance due to its longer duration positioning and higher exposure to corporate bonds, which benefited from credit spread tightening in Q2. On the other hand, the short duration funds lagged the market due to their shorter duration exposure, offsetting some of the outperformance.Â
Factor premia are long-term in nature, and investors who maintain exposure to them over a longer-term horizon are generally rewarded. However, this means potential short-term underperformance from time to time.
Endowus Satellite Portfolios
Launched in November 2021, the Endowus Satellite Portfolios are designed to supplement the core portfolios and offer clients specific exposure to opportunities in selected regions, themes, asset classes, and trends.Â
In taking a core-satellite approach, most investors should allocate the bulk of their asset allocation to the core portfolios.Â
China Equity Portfolio

âKey performance highlights:
The China Equity Portfolio posted a gain of 2.3% in June 2025, bringing the Q2 2025 return to -1.0%.
The second quarter of 2025 saw a renewed sense of optimism in China's equity market, driven by several key factors. Confidence in China's innovation capabilities surged with the continued advancement of Artificial Intelligence, exemplified by breakthroughs like DeepSeek's R1 AI models. This technological enthusiasm was complemented by the Chinese government's targeted retail stimulus, particularly for household appliances, along with the steady investment in infrastructure. Furthermore, the easing of US-China trade tensions provided a tailwind, particularly benefiting emerging markets and Asian equities.
Fund managers observed improving policy clarity and the market's positive reaction to measures supporting economic stability and growth in China. The tech sector continued to be a focal point, with specific innovations driving investor interest. While overall market sentiment improved, managers emphasised selective opportunities and the importance of active management to capture alpha amidst ongoing sectoral nuances. Our diversified approach across these active managers allowed the portfolio to effectively participate in the market rebound while managing concentration risks.
In contrast, our Portfolio outperformed the benchmark (Morningstar China All Cap Index) due to its more cautious allocation strategy, avoiding large bets in single stocks. In contrast, the benchmark is highly concentrated (around 9% weight) in Alibaba, which experienced a sharp correction after a strong Q1 rally. Our Portfolio also performed better than other common market indices like the CSI 300 (-1.8% for Q2 2025 in SGD terms).
Megatrends PortfolioÂ

âKey performance highlights:
The Portfolio staged a strong rebound in the second quarter with a return of +8.5%, outperforming the Morningstar Global Markets Index. Key to this rebound was a shift in sentiment back to ârisk-onâ, as concerns over trade tensions abated. As a result, the growth-focused funds within the Portfolio strongly outperformed the Index. Â
Thematics AI & Robotics was the strongest performer in Q2, reversing the negative performance experienced in the first quarter. The rescinding of the AI diffusion rule (export controls on advanced AI technologies) was a notable positive, although returns were driven mainly by the strong performance of underlying companies. Nvidia continued its meteoric rise after its results were well-received by markets, while other companies such as Snowflake rallied on the back of robust earnings and outlook.Â
On the other hand, the biotechnology sector remained under pressure as the Trump administrationâs policies further introduced uncertainties. Trumpâs aim to link US drug prices to pricing overseas was a dampener, while the appointment of drug critic Dr Vinay Prasad to the US Food and Drug Administration dealt further damage. Despite the negative environment, deal activity remained healthy, with two billion-dollar deals announced in May alone. Janus Henderson, the manager of the Horizon Biotechnology Fund, believes that as clarity comes on drug pricing and leadership at the FDA, biotech stocks should once again trade on fundamentals.       Â
Technology Portfolio

âKey performance highlights:
The Tech Portfolio delivered a strong +8.2% in June 2025, bringing the Q2 2025 returns to +19.1% and outperforming the Morningstar Global Tech Index by 3.3%. It outperformed broader global equity markets by +13.4%
The BGF Next Generation, BGF World Tech, and Franklin Technology were the 3 best performing funds in Q2, returning +27.4%, +26.0% and +25.9% respectively, while JPM Tech and Janus Henderson Tech also posted strong performance above the benchmark. Fidelity Global Tech was the only fund that reported returns below the benchmark in Q2 (despite still posting double digit returns), but this was due to its âvalue nature,â which helped protect the downside in Q1. Interestingly, on a YTD basis, all 6 funds in our tech satellite portfolio outperformed the benchmark, which, in our view, is a sign that stock picking in tech is starting to work again after a period of Mag7 domination, which led to most active funds underperforming the benchmark in 2023 and 2024.
Our portfolio has a more balanced weight of mega cap tech (44%) and large cap tech (30%) companies compared to the index, where mega cap tech accounts for 70% and large cap tech accounts for 24% respectively.
Global Real Asset Portfolio

âKey performance highlights:Â
The Endowus Real Assets portfolio had another positive quarter with a +2.5% return. Performance was stable across the quarter - the portfolio was more defensive in April with a smaller decline compared to the broader market. Returns in May and June were positive but lagged the rally experienced in equities. Â
Most of the underlying funds were positive over the quarter, led by the two infrastructure funds KBI and M&G. Commodities were down in the second quarter, although the PIMCO GIS Commodity Real Return Fund was more resilient and declined by a smaller amount. The Ninety One Global Natural Resources Fund did manage to buck the trend, owing to strong performances by its agriculture holdings such as Deere & Co, Corteva and the Mosaic Company.Â
Real estate was a mixed bag, with the Nordea Global Real Estate fundâs defensiveness in April the key to a positive quarterly performance, while the Janus Henderson Global Property had a negative return.Â
Endowus Income PortfoliosÂ

âKey performance highlights:Â
The Stable Income Portfolio gained +1.5% in the second quarter, outperforming the broader credit market. Despite the volatility experienced in April and May, the portfolio delivered positive returns each month, with the bulk returns being registered in June. The portfolio benefited from its fund selection in the flexible fixed income space, with most funds outperforming the overall fixed income market. The flexible fixed income managersâ active sector rotation (e.g. towards emerging markets) and duration management (e.g. increased duration during the May duration sell-off) aided their ability to capture the upside in June. On the other hand, the portfolioâs allocation to Asian bonds was a relative detractor as the funds in this category underperformed the broader market.Â
The Higher Income Portfolio gained +2.8%, outperforming the 20-80 benchmark. The fixed income component of the portfolio outperformed the broader credit market. In addition to reasons similar to the Stable Income Portfolio, the Higher Income Portfolioâs additional tilt to the high yield market contributed further to its relative performance; high coupon and spread tightening in Q2 supported high yield marketsâ strong performance. The equity component of the portfolio outperformed the broader equities market as well. Its overweight to emerging markets and Asian equities, as well as to real assets, contributed to relative performance. In addition, as USD continued its depreciation against SGD in Q2, currency hedging of the underlying funds contributed positively to relative performance, too.Â
The Future Income Portfolio delivered a +2.6% return, underperforming the 40-60 benchmark in the second quarter. The fixed income component mirrors the Stable Income Portfolio. Its equity component experienced some weakness and underperformed the broader equities market. While Asian equities performed well during the quarter, the portfolioâs exposure to the Asian equities market, as well as the European equities market, is a notable detractor. This is because the funds selected in both categories underperformed during the quarter, primarily due to stock selection.Â
- Actual payouts have remained stable despite the fluctuation of prices across the three portfolios. Volatility in price returns will result in mark-to-market changes (decrease or increase) in the portfolio value, but will not impact the actual coupon payments or dividend payouts from the underlying funds.Â
- Yields in the fixed income market have risen meaningfully following the increase in global interest rates, creating a higher yield environment for income-seeking investors.Â
- The changing interest rate environment has resulted in a divergence between the respective payout yields of Stable Income and Higher Income. This divergence is a reflection of the enhanced ability of investment grade flexible income funds to generate income in the current environment of elevated interest rates, compared to high yield and equity funds. These dynamics were pivotal in the Recommended Portfolio Change in November 2023, where we improved the credit quality of all three portfolios while maintaining the target payout levels. As we continue to monitor these evolving market conditions, it's crucial to acknowledge that the Higher Income Portfolio is strategically crafted to yield a higher total return than the Stable Income Portfolio over the long term.

Endowus Cash Smart Portfolios

Key performance highlights:
âThe Cash Smart portfolios delivered positive returns in Q2 2025, in a largely similar fashion compared to the first quarter.
Despite higher treasury market volatility seen in April, rising expectations of monetary easing and heightened concerns about the economy saw largely lower yields across the curve, by the end of the quarter. This falling short-term yields provided a positive backdrop for money market and short duration portfolios. The Cash Smart Secure portfolio generated the lowest returns, followed by Enhanced, while Ultra generated the strongest returns this past quarter.
Cash Smart Secure closed the second quarter up +0.7%. This performance was supported by consistent monthly returns of +0.2% to +0.3% throughout the April to June period. The two underlying funds in the portfolio, Fullerton SGD Cash Fund and LionGlobal SGD Enhanced Liquidity Fund, proved to be resilient liquidity management options during the volatile quarter with both funds generating positive, stable returns during the period. With a steady growth in portfolio value during a volatile market environment, Secure remains a relatively safer option across the Cash Smart suite for investors seeking shelter for their investments while generating short-term yield.Â
Cash Smart Enhanced generated a return of +0.9% in the second quarter. All underlying funds contributed positively in Q2, with the UOB United SGD Fund contributing the most with +1.2% added over the quarter. Despite the UOB United SGD Fund experiencing bouts of volatility in early April, falling short-term yields and tightening corporate spreads over the May to June period provided tailwinds for short duration bonds, with the United SGD Fund adding +0.5% during the month of June. With slightly added risk due to the inclusion of short duration bonds, the Enhanced portfolio generated higher returns than Secure, in line with expectations. Â
Cash Smart Ultra generated a return of +1.1% in the second quarter, contributing the strongest return among the Cash Smart range. With short duration bonds experiencing more volatility during early April, underlying funds such as PIMCO Low Duration Income, UOB United SGD, LionGlobal Short Duration Bond and Fullerton Short-Term Interest Rate Fund saw slight drawdowns during the period ranging from -0.4% to -1.80%. However, these were quickly reversed in May and June when falling short-term yields and tightening spreads spurred a recovery rally towards quarter-end, sending these funds higher between +1.2% to +1.7% over the quarter. This performance highlights Ultraâs potential to produce higher returns than Enhanced or Ultra although with higher added risk. Investors seeking to largely avoid exposure to market volatility for their liquid investments may consider switching to lower-risk portfolios such as Secure or Enhanced.

Cash Smart Portfolios, primarily exposed to USD and SGD market rates, are seeing declining projected yields as markets enter a rate-cut cycle. Given the varying levels of duration and credit risk across the portfolios, investors are encouraged to review their investment goals and assess whether their current Cash Smart Portfolio remains aligned with their needs. To understand how Endowus calculates representative historical performance, click here.
Watch our webinar on Q1 performance and market insights at this link. For more on the market outlook, click here.