In our a March 2025 newsletter (Link), we anticipated this moment: stock picking is making a comeback.
2025’s volatility has reawakened interest in active selection, and we’ve responded by launching a subscription service at 20Quant — on top of implementing this strategy, as usual, within the Simplify Partners funds — giving investors direct access to thematic and ad hoc single-name portfolios curated by the advisory team.
After nearly a decade of outflows, stock-pickers have seen a resurgence in 2025. Amid market turbulence, they posted strong gains, attracting over $10 billion in fresh capital in the first half of the year according to Bloomberg data.
This reversal follows years where the strategy was overshadowed by passive ETFs and giant multi-manager platforms.
Market dislocations around US President Donald Trump’s April “Liberation Day” tariff salvo opened a window of opportunity. Equities sold off sharply before rebounding, offering long-awaited entry points into quality names—especially those prioritizing healthy and sustainable dividend streams.
The relatively high interest rates are an additional boosting to the appeal of active stock selection. For over a decade, ultra-low rates and central bank asset purchases lifted all boats—making true alpha harder to find. Today’s market is more discriminating. It rewards conviction, not correlation.
We’re also seeing relative outperformance in regions and sectors that had been out of favour. European indices have outshone the S&P 500 for the first time in years, while defence stocks like Rheinmetall (Germany) and BAE Systems (UK) have rallied strongly as investors reallocate into formerly unloved areas.
We implement this approach within the Simplify Partners fund strategies. Alternatively, you can subscribe to 20Quant to receive sector-specific or single-name stock selections tailored to the current market regime.
For further information, please contact us at info@simplifypartners.com
Best regards,
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Federico Polese
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