End of Year Message from our CEO Joseph Chou

Reflecting on 2025, a year of change and opportunity

2025 has been an exceptional year, full of events and opportunities.

On the geopolitical front, a new US administration and global developments have continued to reshape the international landscape.

At the same time, AI has surged into the mainstream. With ChatGPT and countless AI-powered innovations, artificial intelligence has become one of the most transformative technologies of our generation. People everywhere are talking about it, some are using it daily, others are exploring how to leverage it, and many are concerned about missing out on this technological leap. As with all major shifts, it brings both uncertainty and tremendous opportunity.

The Australian property market in 2025

From a property perspective, Australian real estate has enjoyed strong capital growth in 2025. Thanks to three interest rate reductions from the Reserve Bank of Australia and Federal government’s generous incentive to first home buyers, confidence returned strongly, and many investors rushed in. Most capital cities experienced solid growth and are forecast to continue rising into 2026.

I often recall a speech I gave in Perth about a decade ago, where I quoted analysts predicting that every major Australian capital city would one day reach a median house price of $1 million. At the time, it was inconceivable. Today, except for Perth, every major city has already passed that milestone. Perth is expected to cross the threshold shortly. Sydney is approaching a $2 million median price, an extraordinary reflection of Australia’s long-term housing dynamics.

1. Structural undersupply and strong population growth
   Australia continues to experience a significant housing undersupply. Construction activity has struggled to keep up with both household formation and record migration levels. This structural imbalance has been a major driver of both capital growth and rental demand and is expected to support the market for years to come.
2. A tightening rental market and rising yields
   Vacancy rates remain exceptionally low across the country. Many of our clients have seen their investment properties rented quickly, at higher rents, with strong tenant demand. These improved yields provide meaningful support to investors and reinforce the value of owning well-selected assets.
3. Construction challenges and rising replacement costs
   High construction costs, builder insolvencies, and labour shortages have slowed new supply even further. Replacement costs for quality homes and apartments have risen substantially. As a result, established properties—particularly in desirable, well-planned locations, especially in some under-performed locations, are becoming increasingly valuable and difficult to replicate, which supports long-term capital growth.

For many of our clients, these conditions have led to substantial gains. Our research-driven, diversified Portfolio Approach strategy has once again shown its strength. This is exactly why we are so passionate about the work we do at Ironfish, helping busy professionals build sustainable long-term wealth through property.

A reminder: property is a long-term journey

There are many opinions, “experts,” and voices in the market today, especially on social media. But the fundamentals never change. Property investment is a long-term strategy and a key part of your broader financial and wealth-building plan.

Success comes from buying and holding quality assets over the long term. Very few people become financially free through speculation. But those who invest consistently, diversify thoughtfully, and hold their assets through the cycles often achieve financial freedom over time.

Wealth, health and happiness, the power of compounding

As we build our wealth, it’s important to remember that financial success is just one part of a fulfilling life. In 2025, more people than ever have been asking big questions: What truly makes me happy? How do I stay healthy? How do I build a balanced lifestyle?

Just like compounding works in investing, it also works in every area of life, our habits, routines, health, relationships and personal growth. Small positive actions repeated daily create extraordinary results over time.

A personal note

Since beginning my investment journey in 1998, I’ve continued to build my portfolio, including several off-the-plan purchases this year. As always, I invest alongside our clients and team.

I’ve also continued my passion for learning piano, now up to 12 pieces (including two new pieces in 2025) since starting as a self-taught beginner in 2020. Consistent daily practice, just 20–30 minutes each morning, has created results that once seemed impossible.

I completed Unit 2 of my Harvard OPM program this year, and I look forward to bringing that learning back to Ironfish as we move into our next phase of growth and even better service to you, our valued clients.

I’ve enjoyed playing table tennis regularly and spending more time cooking for my family. After many years on the road building Ironfish, I now treasure quality time with my wife and children more than ever. I also enjoy spending time with my business partners, Ironfish colleagues, clients and developer partners.

Stories that inspire

This year, I reconnected with a client I first met 25 years ago. He and his wife were average income earners who, with our help, mindset shifts and a clear plan, built a substantial property portfolio. Five years ago, they retired comfortably with a multi-million-dollar net worth and passive income. Today, they enjoy complete financial freedom.

Another more recent client told me that his net worth increased significantly in just the past 12 months. Stories like these remind us what is possible with patience, discipline and the right strategy.

Thank you and looking ahead to 2026

As 2025 comes to a close, I want to sincerely thank all of you for your trust and support. I also want to thank our dedicated Ironfish colleagues for their commitment to our mission.

Year-end is a wonderful time to reflect:

• What did you achieve in 2025?
• What did you learn?
• What lessons will you take forward?

It’s also the perfect moment to start planning 2026. A new chapter is waiting to be written, and you are the author.

On behalf of myself and the entire Ironfish team, I wish you and your loved ones a safe, joyful and restful festive season.

I look forward to speaking with you again in the new year.

Warm regards,

Joseph Chou, CEO, Ironfish