Where Capital Meets the Future
In our 2026 Mid-Year Investment Outlook, we explore how investors can navigate a world shaped by geopolitical uncertainty, elevated volatility and shifting cross-asset correlations—while staying focused on the structural forces reshaping the global economy.
Near-term risks remain as the Middle East conflict is likely to keep energy prices elevated, while the lagged effects on supply chains and inflation may continue to create market noise.
At the same time, a powerful investment cycle is accelerating across AI, energy security and defence. The scale of capital flowing into these areas is significant, supported by innovation, government priorities and investment in grids and strategic infrastructure. This is creating meaningful opportunities across both public and private markets—alongside a broader gap between winners and losers across sectors, issuers and regions.
Against this backdrop, our positioning remains constructive but selective. We favour equities in the US and mainland China, alongside Hong Kong, Singapore and South Korea, and the enabling sectors behind the AI build-out—Technology, Industrials, Utilities, Energy and Materials. In fixed income, we prioritise coupon income and carry through Investment Grade and select EM, while strengthening portfolios through diversification in alternatives, infrastructure, gold and currency strategies.
In this video, Willem Sels, our Global CIO, shares our four priorities and High-Conviction themes to build resilient portfolios for the second half of 2026.