Quantel's Premium Portfolios delivered another strong month in October 2025, with returns ranging from +0.3% in our Conservative series to +3.3% in our Moderate Growth portfolio. Our Aggressive and Very Aggressive portfolios gained +2.4% and +1.4% respectively. Across all risk profiles, Quantel’s disciplined strategies have achieved year-to-date returns of +6% to +23%and one-year gains of +5.6% to +39.3%, with four of the five portfolios well ahead of their respective benchmarks.
A Cautiously Optimistic Turn
The global macro picture is finally showing some light after two years of tight monetary policy and geopolitical overhang. In October, the Federal Reserve delivered a 25 basis-point rate cut—the first since 2023—signalling a measured pivot toward easing while emphasizing that future cuts will depend on data and inflation trajectory. Core PCE has fallen to the low 3% range and headline inflation to just above 2.5%, both encouraging trends that support our base case of one more rate cut before year-end.
Equally noteworthy is the tariff situation: China has suspended a large portion of its retaliatory tariffs on U.S. imports, creating a temporary pause in trade tensions and offering some stability to global supply chains. While the structural decoupling trend remains, this reprieve has improved risk sentiment and benefited cyclical and tech exposures globally.
Against this backdrop, we have adopted a “cautiously optimistic” stance—balancing our AI-driven growth exposures with select defensive tilts and volatility controls built into our systematic models.
Navigating the New Macro Regime
The current environment is neither a boom nor a bust—it is a re-balancing phase where policy normalization meets AI-led productivity expansion. Our models detect that equity momentum has broadened beyond the “Magnificent 7,” with mid-cap tech and industrial automation names leading the latest advances.
Bond markets, on the other hand, are showing signs of stabilisation after a multi-year drawdown. The short end of the curve offers positive real yields while the long end has likely peaked in yield for this cycle. We continue to favour short-duration fixed income in our Conservative and Income strategies, while tilting toward quality equities and alternatives in our growth sleeves.
Our Quantel AI Opportunity engine remains the core driver of alpha, supported by rotational signals that have outperformed discretionary benchmarks since launch. Within that framework:
AI & Innovation Exposure: NVIDIA, Microsoft, and Amazon continue to anchor our growth allocation, but position sizes have been re-balanced to reduce concentration risk.
Deep Value Overlay: Our Quantel Deep Value sleeve captured the temporary dips in solid large cap names taking the discount the market offered.
Alternative Diversifiers: The Quantel Crypto and Digital Alts segments had a negative month in October but we have only a small exposure with controlled volatility.
NextGen Exposure: We have also initiated some strategic allocation to NextGen companies, including emerging players in Quantum Computing and AI Data Center infrastructure, aimed at capturing early-stage exposure to the next wave of technological transformation.
Performance Highlights (As of October 31, 2025)
|
Quantel Portfolios
|
Oct Return
|
3 Month
|
YTD
|
1 Yr
|
Benchmark
(1 Yr)
|
Alpha
(1 Yr)
|
Std Dev
|
Sharpe
|
|
Very Aggressive Growth
|
1.40%
|
8.20%
|
22.30%
|
39.30%
|
21.50%
|
12.7
|
22.30%
|
1.57
|
|
Aggressive Growth
|
2.40%
|
10.10%
|
22.80%
|
36.70%
|
21.50%
|
11.8
|
20.40%
|
1.58
|
|
Moderate Growth
|
3.30%
|
11.30%
|
23.40%
|
30.90%
|
21.50%
|
8
|
18.10%
|
1.47
|
|
Conservative Growth
|
0.30%
|
2.10%
|
6.40%
|
6.50%
|
6.10%
|
0.4
|
4.10%
|
0.52
|
|
Conservative Income
|
0.20%
|
2.20%
|
6.20%
|
5.60%
|
6.10%
|
-0.5
|
3.80%
|
0.32
|
Notes: 1) Performance data are net of fees and may include backtested periods as indicated in individual strategy reports 2) Benchmarks reflect S&P 500 or Vanguard Total Bond Index as applicable. 3) Performance on individual accounts may be more or less based on many factors such as customization of portfolios, addition/withdrawal of funds, execution timing of trades and performances of independent positions held. 4) Past performance is not indicative of future results. 5) Investing involves risk including possible loss of principal.
Positioning and Outlook
We enter the final quarter of the year with balanced allocations and a focus on capital preservation paired with selective risk taking.
Equities: Slight overweight to technology and consumer cyclicals; underweight to utilities and real estate.
Fixed Income: Short-duration bias and select credit exposure in BBB/BB segments offering 4–6 % yield.
Alternatives: Maintaining 8–10 % allocation in gold and digital assets as tail hedges against policy missteps and geopolitical risks.
Cash: Near 1 %, primarily for liquidity and tactical rebalancing.
We expect the rest of 2025 to deliver steady but uneven returns as markets absorb slower growth and policy adjustments. Our AI-systematic process remains our greatest edge—designed to capture trend changes early while guarding against over-reaction in volatile
periods.
Closing Thoughts
After a two-year period of policy tightening and market repricing, investors can finally see a path toward normalization at the macro level. While we do not expect a broad bull market re-acceleration particularly with talks of a tech bubble, we believe 2026 will be a year of selective alpha — rewarding discipline, diversification, and systematic consistency.
We welcome the opportunity to discuss how Quantel’s disciplined, AI-driven strategies can support your long-term goals and create portfolios that work for you, as you want them to.
Shyam Sreenivasan
Chief Executive OfficerLinkedIn Link
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