Global Equities Show Resilience Amid Market Turbulence

Global equity markets have displayed notable resilience in 2025, despite enduring significant turbulence. Factors such as persistently high bond yields and various geopolitical tensions have challenged investors. The ongoing uncertainty has necessitated a strategic emphasis on quality companies, disciplined valuation, and diversified portfolios. The Goshawk Global Balanced Fund UCITS ETF (LSE: ROE) exemplifies this approach, providing a structured investment vehicle focused on robust equity opportunities.

Key Global Equities to Consider

Among the compelling global equities to explore, Mitsubishi Electric (Tokyo: 6503) stands out. Historically a vast Japanese conglomerate, the company has made significant strides in enhancing its corporate governance in alignment with government reforms. Mitsubishi Electric is pursuing a return-on-invested-capital strategy aimed at improving profitability. Recent restructuring initiatives, including the spin-off of its vehicle-electrification unit, allow a sharper focus on higher-margin operations such as factory automation and air conditioning, which are increasingly essential for data centres. Additionally, the firm’s growing defence sector, particularly in advanced radar technology, presents a promising avenue for future growth. Current assessments indicate that Mitsubishi Electric trades at attractive valuations, with its stock priced significantly below the cost of rebuilding its various franchises.

Another noteworthy company is Thermo Fisher (NYSE: TMO), a leader in analytical instruments and services for clinical research, diagnostics, and environmental monitoring. The firm has established a strong client base, including pharmaceutical companies and government research institutions. From 2013 to 2023, Thermo Fisher achieved an impressive annual free cash flow growth of approximately 15%. While growth has moderated post-pandemic and has faced additional pressure due to policy shifts in research funding, the company remains committed to improving its core business rather than relying solely on acquisitions. In 2022, management reaffirmed expectations of long-term organic revenue growth ranging from 7% to 9%, reinforcing the view that the company is undervalued relative to its historical performance.

Singapore Telecommunications (Singapore: Z74) has also emerged as a compelling investment option. The company has effectively redeployed its strong domestic cash flow into higher-growth international markets, particularly through its investment in Bharti Airtel in India, alongside stakes in Australia, the Philippines, Indonesia, and Thailand. The Indian mobile telephony sector is benefiting from reduced competition, resulting in improved free cash flow generation. Additionally, the ongoing adoption of 5G technology and investments in data centres position Singapore Telecommunications for future expansion. The company has strategically divested non-core assets to finance new growth initiatives and enhance shareholder returns. Currently, it offers a robust dividend yield of 4.7%, underscoring its commitment to shareholder payouts.

Investors seeking stability and growth in a complex global landscape can find promising opportunities within these equities. The focus on quality companies, sound valuation practices, and diversified portfolios remains critical in navigating the challenges of the current market environment. By aligning with firms such as Mitsubishi Electric, Thermo Fisher, and Singapore Telecommunications, investors can strategically position themselves for potential long-term gains.

This article was first published in MoneyWeek magazine, highlighting insights from financial experts on navigating today’s equity landscape.