Shares listed on Euronext Lisbon posted solid gains, a performance closely reflected in domestic investment funds' results.

Portuguese and Spanish equities stood out, with some advancing by up to 40% over the year.

Figures from the Portuguese Association of Investment Funds, Pensions and Assets (APFIPP) show that eight of the ten best-performing funds held significant exposure to Portuguese shares.

Caixa Ações Portugal Espanha topped the rankings, managing a portfolio of 36 securities and maintaining an equity exposure of 99%.

By the end of December, its largest holdings included Banco Santander and Inditex, each representing 10% of the portfolio, followed by Banco Sabadell at 9%. EDP, CaixaBank and Bankinter each accounted for 5%, alongside positions in Iberdrola, Endesa, International Airlines Group and Mapfre.

APFIPP noted that Iberian equity markets enjoyed a particularly strong finish to the year, with Spain’s main stock index reaching fresh record highs amid improving economic indicators.

In December alone, the fund rose by 4.95%, supported by gains in financial stocks, cyclical consumer companies — especially in the clothing sector — and utilities.

Over the full year, the fund posted cumulative gains of 41.4%, making it the most profitable Portuguese investment fund in 2025.

Spain’s benchmark Ibex 35 index closed the year above 17,000 points, marking its best annual performance since 1993 after rising by 49.27%.

Records by company

Lisbon’s PSI index also recorded a strong showing, climbing 29.58% to 8,263.65 points — a level last surpassed 16 years ago, with only the 33.5% rise seen in 2009 exceeding this performance.

IMGA Ações Portugal ended the year with a return of 32.7%, narrowly ahead of Sixty Degrees Ações Portugal, which gained 32.6%, while GNB Portugal Ações advanced by 31.65%.

IMGA allocated around 30% of its portfolio to Galp, BCP and Jerónimo Martins.

Sixty Degrees focused on holdings such as Iberdrola, NOS, Sonae, Galp and BCP.

GNB Portugal Ações also maintained positions in Sonae, Mota-Engil and EDP Renováveis.

Montepio Gestão de Ativos placed two funds among the top ten performers, benefiting from the same sectors that supported Caixa Gestão de Ativos.

According to Montepio Euro Financial Services, European equity markets ended December at record highs, closing 2025 with their strongest annual gains since 2021, with the financial sector emerging as one of the main drivers of the rally.