Q3-2025 Client Commentary

October 2, 2025

Quarterly Investment Commentary – September 2025

The third quarter of 2025 brought both progress and renewed challenges for investors. Markets advanced steadily through the three months despite nonstop news from Washington and continued global tensions. Equity markets pushed higher throughout the period, showing resilience amid constant political headlines from Washington and ongoing global uncertainties. By the end of September, the S&P 500 had gained 14.8% year-to-date, while the Dow Jones Industrial Average advanced 9.1%. The Nasdaq continued to lead the major indices, driven by strong performance in semiconductor companies and persistent demand for AI-focused infrastructure.

Specific market events helped shape investor sentiment. On August 15th, Nvidia and Intel announced a partnership that rippled across the semiconductor sector, sending competitors AMD and ARM lower as investors reassessed market share prospects. Then on September 20th, Federal Reserve Chair Jerome Powell reiterated the Fed’s “higher-for-longer” stance on interest rates, sparking a sell-off in rate-sensitive sectors like housing and utilities. These reminders highlight the ongoing tension between a resilient U.S. economy and the reality of tighter financial conditions.

One of the themes we continue to stress is the importance of patience and discipline. Markets often react quickly to headlines, but the true value of a business compounds over years, not quarters. We remain focused on companies with durable cash flows, strong balance sheets, and the ability to innovate through periods of uncertainty.

Outside the markets, fall is an important planning season for families. As of October 1st, the FAFSA (Free Application for Federal Student Aid) window opened for students entering college in 2026. If you know a high school junior or senior, we encourage reviewing the FAFSA form early at www.studentaid.gov. In addition, we continue to recommend 529 college savings plans — whether for children, teenagers, or even adult learners — as a tax-advantaged way to prepare for education expenses while receiving a modest state tax deduction. We are happy to help set up these plans as part of a comprehensive financial strategy.

Looking ahead, we remain cautiously optimistic. Corporate earnings are generally solid, and ongoing innovation in technology and financial services continues to support productivity growth. Consumer spending has also proven resilient. At the same time, we are mindful of the risks that come with policy uncertainty in Washington and continued geopolitical tensions around the globe. History reminds us that maintaining a disciplined investment approach is the most effective way to weather periods of volatility.

We continue to enjoy connecting with our community through iHeart Radio’s Ask the Experts program, airing live every Tuesday at 8:00 a.m. on WIBA AM 1310 in Madison. Past episodes are also available on iHeart Radio and podcast platforms.

And as we approach year-end, it is important to review tax and planning considerations for this year and next. We are in the process of setting up review meetings. Please give us a call to discuss a convenient time.

All of us at Wisconsin Capital Management wish you a healthy and colorful autumn.

The information presented in this newsletter is the opinion of Wisconsin Capital Management, LLC and does not reflect the view of any other person or entity.  The information provided is believed to be from reliable sources, but no liability is accepted for any inaccuracies.  This is for information purposes and should not be construed as an investment recommendation.

Economic factors, market conditions, and investment strategies will affect the performance of any portfolio and there are no assurances that it will match or outperform any particular benchmark.

Opinions expressed are those of the author and are subject to change, are not intended to be a forecast of future events, a guarantee of future results, nor investment advice.

Past performance is not indicative of future performance, and all investments are subject to risk of loss. See Wisconsin Capital Management’s Form ADV Part 2A and Form CRS at https://www.wiscap.com/ for additional information about our business practices and conflicts identified.

Advisory services offered through Wisconsin Capital Management, LLC, an Investment Advisor registered with the U.S. Securities & Exchange Commission.

All registered investment advisers have the same fiduciary duty as Wisconsin Capital Management, LLC.