March Market Mayhem: Tariffs, Trade & a Portfolio Pivot

Dear PrimeETF Readers,

Since its launch on June 28, 2024, PrimeETF has been about one thing: helping busy professionals invest smarter with minimal effort.

But March 2025 threw a curveball at all of us.

What Just Happened?

The global markets took a sharp dive. The U.S. slapped new tariffs on select Chinese goods. China responded. Canada, Mexico, and the EU hinted at their countermeasures. Suddenly, shipping containers became costlier, supply chains became messier, and uncertainty flooded the markets.

Our PrimeETF portfolio held up better than most.

Here’s the damage control report:

PrimeETF vs SPY

PrimeETF vs QQQ

Source: PrimeETF Portfolio

Portfolio – April 4th / Blood Bath.

Gold was the hero this month.

Why?

When things feel shaky, investors run to safety, and IAU (iShares Gold Trust) delivered a strong +15.61% from inception.

Portfolio – from Inception

What’s Changing in April?

We made a major pivot this month.

Out:

VUG (Vanguard Growth ETF): -4.51% return (LOSS)
VTV (Vanguard Value ETF): -3.39% return (LOSS)

In:

VEA (Vanguard FTSE Developed Markets ETF) – Developed countries like Europe and Japan
VWO (Vanguard FTSE Emerging Markets ETF) – Growing economies like India, Brazil, and Southeast Asia

Historic Trades

Here’s our updated portfolio for April 2025:

Source: PrimeETF Portfolio Holdings

What’s Going on in the World?

In simple terms—even a 10-year-old will get this:

Imagine three friends (USA, Canada, and

Mexico) started arguing with a fourth friend

(China) about toys. The first three said: “You’re

sending us toys too cheap. That’s not fair!” So

now, they’re talking about adding tariffs (extra fees)

to make the toy prices even. But China says,

“That’s not fair either!”

That’s how trade wars start. And guess what? Markets don’t like fights. Investors get scared. Stocks drop. And that’s what we saw in the last week of March—a sudden drop in both tech and global stocks.

Tariff War & Sea Cargo: What You Should Know:

Shipping companies are already feeling the pinch. Containers from Asia to the U.S. face longer inspection times and higher insurance premiums. Freight rates are rising, especially on trans-Pacific routes.

Who pays in the end? It’s not just companies. It’s you and me—higher costs for TVs, gadgets, clothes, and more. Even bulk shipping of commodities like grain and coal is slowing down due to uncertainty.

Think of a toy ship sailing across the Pacific. If tariffs make that trip 10% more expensive, that extra cost might end up in your shopping cart.

Outlook: Where Do We Go From Here?

This could be the year when international diversification shines. While U.S. markets are stumbling, developed and emerging markets could offer better resilience and value. That’s why we stay global, with an eye on commodities and geopolitics.

Also, keep an eye on AI infrastructure ETFs and industrial manufacturing, which are seeing long-term inflows despite the macro noise.

Final Thoughts

We’ll continue adjusting the sails monthly.

You stay focused on life and work; we handle the investing storm.

Disclaimer: This is not financial advice.

Please consult your financial planner.

These are personal views, and investing in

PrimeETF is at your own risk.

Warm regards,

Sriram Balu

PrimeETF

“Simplifying Investing for Busy Professionals”