Investment strategies are shifting towards sectors poised for growth, particularly in technology and artificial intelligence (AI), as the global economy stabilizes.
Financial experts from BNY Investments and UBS Global Wealth Management are optimistic about the potential of active fixed income strategies to enhance returns beyond traditional yield metrics.
The chief investment officer at UBS Global Wealth Management, Mark Haefele, emphasizes the importance of AI in equity markets and expects significant growth in the technology sector, led by large-cap tech companies.
Aninda Mitra, head of Asia macro and investment strategy at BNY Advisors Investment Institute, highlights the potential for gradual growth in Europe and a stabilization of demand in China.
However, Mitra maintains a cautious stance due to the fragility of recovery in both regions.
April LaRusse, head of fixed income investment specialists at Insight Investment, believes that active managers can enhance returns in fixed income markets through strategic credit selection and duration management.
Brian Blongastaine, global investment strategist at Newton Investment Management, predicts that the AI arms race will continue to attract significant capital investment, benefiting not only tech companies but also sectors such as electric utilities and infrastructure.
Blongastaine also notes the potential undervaluation of smaller tech firms, presenting an opportunity for active managers.
The interplay between AI advancements and macroeconomic trends will be crucial in shaping market dynamics, and investors are encouraged to leverage potential market fluctuations to build exposure to AI-related opportunities.