How retail investor choices have evolved before and after Trump’s return to power

The return of Donald Trump to the White House in January has fuelled big changes to ISA and pension portfolios for retail investors.

Analysis of buying and selling patterns on AJ Bell’s DIY investment platforms* over three distinct periods since the start of 2024 suggests that certain investors are falling into different camps.

Many of those happy to own individual shares took advantage of the pullback in US equities earlier this year, and that hunger might have paid off as US markets subsequently rebounded and hit new highs.

The proportion of net buys for US stocks among all share trades jumped from 25% in the 10 months leading up to the US presidential election to 34% between election results day and Liberation Day on 2 April 2025.

Between Valentine’s Day and mid-March, the US market broke many an investor’s heart as the S&P 500 fell by nearly 10%. However, this pullback also caught the attention of individuals looking to pick up a relative bargain. AJ Bell DIY investors were out in force during that period, snapping up stocks at much cheaper prices than they’d been only a few months earlier.

Analysis of the top 75 most popular US-listed shares by net buys on AJ Bell and Dodl. Covers periods: 1 Jan 24-5 Nov 24; 6 Nov 24 - 2 Apr 25; 3 Apr 25 - 28 Aug 25. Source: AJ Bell

Fund trends

Fund investors appear to have lost their appetite for US investments since Trump unleashed his new tariff regime on Liberation Day.

This event appears to have driven greater interest in UK funds as the FTSE 100 and its plethora of defensive-style stocks offer a tonic to a chaotic backdrop. Even though US shares were quick to recover from pre- and post-Liberation Day weakness, investors making the switch from the US to UK funds might not have lost out completely as UK markets have also pushed ahead.

These trends indicate that share and fund investors are looking at the market volatility in different ways. Share investors have gravitated to markets that have served them well in the past, buying on the dip. Fund investors often take a longer-term perspective, and the reduced appetite in US funds implies a new way of thinking.

The fact US funds have gone from representing 13% of net buys** on AJ Bell’s DIY investor platforms between 1 January 2024 and 2 April 2025, to just over half this level (8% of net buys) since the Liberation Day speech, suggests a complete reappraisal of investment markets thanks to Trump’s disruptive trade policies.

Analysis of the top 75 most popular funds by net buys on AJ Bell and Dodl. Covers periods: 1 Jan 24-5 Nov 24; 6 Nov 24 - 2 Apr 25; 3 Apr 25 - 28 Aug 25. Source: AJ Bell

The drop in appetite for US funds implies that fund investors want to broaden their horizons and that they believe the American market has become less attractive. Some might be putting new money into other parts of the world to dilute US exposure, others might be trimming US positions and recycling that cash elsewhere.

Investment trust trends

It’s notable that the proportion of investment trust net buys among AJ Bell DIY investors has also undergone a radical shift since Trump reclaimed the keys to the White House. Global equity trusts represented 49% of net buys between 1 January and 5 November 2024; since Trump won the election, they’ve fallen to approximately 42% among AJ Bell DIY investors.

There are several ways of looking at this situation. On one hand, it could mean certain investors are less interested to cast their net wide through a global trust and now prefer a more specific geography. On the other hand, it could ultimately represent a reduction in demand for US as that territory will have a big weighting in global funds. For example, the US accounts for 72.5% of the MSCI World index as of 31 July 2025.

It is worth noting that US-specific investment trusts do not feature widely on the most popular list, before and after Trump returned to power. That’s because there is only a limited choice of investment trusts specialising in US stocks compared to the much greater range available through funds.

Analysis of the top 75 most popular investment trusts by net buys on AJ Bell and Dodl. Covers periods: 1 Jan 24-5 Nov 24; 6 Nov 24 - 2 Apr 25; 3 Apr 25 - 28 Aug 25. Source: AJ Bell

Methodology

*The data is based on activity on AJ Bell’s DIY investor platforms: AJ Bell and Dodl.
**AJ Bell looked at top 75 investments for each of net buys and net sells over three periods. The first period was 1 January until 5 November 2024, capturing investing activity before the US presidential election. The second period covered the day of the election result until Liberation Day, where Trump turned the world upside down with new tariffs. The third period covered the days and months after Liberation Day, up until the end of August 2025.