High stock valuations are likely to affect returns in 2025, with analysts expecting the Nifty 50 to rise 10–12%, a sharp moderation from the 21% rise the index had chalked up last year at its peak, only to give up more than half of the gain in the last quarter of the year. Investors should brace for some volatility early in the year when Donald Trump is sworn in as the next US president and around the Union Budget, analysts said.