Invest with clarity amid shifting currents

Outlook 2026: Blowing Bubbles?

We expect risky assets to perform well in 2026 as major asset classes continue to inflate. Inflating gains are expected to be accompanied by greater dispersion, resulting in our preference to diversify across a wider range of asset classes.

Strategic Insights:

Equities: We expect strong earnings growth to dominate elevated valuations. Diversification is key to managing risks.
Income: Emerging Market (USD and local currency) bonds offer attractive yields and diversification from a Fed-centric outlook alone.
Diversifiers: Gold is expected to extend gains. Alternative strategies and currencies like JPY and CNH are essential for effective diversification.

Investment Opportunities:

Equities: Focus on global gold miners, US tech, pharma, utilities; China non-financial high-dividend state-owned entities, Hang Seng Technology Index; Europe banks, India large & mid-cap equities.
Bonds: Invest in US Treasury Inflation-Protected Securities, short-duration high-yield bonds, Asia Investment Grade bonds and CLO bonds.

Read the full report here.

Disclaimer

This article is for general information only and it does not constitute an offer, recommendation or solicitation of an offer to enter into any transaction or adopt any hedging, trading or investment strategy, in relation to any securities or other financial instruments. This article has not been prepared for any particular person or class of persons and does not constitute and should not be construed as investment advice or an investment recommendation. It has been prepared without regard to the specific investment objectives, financial situation or particular needs of any person or class of persons. You should seek advice from a licensed or an exempt financial adviser on the suitability of a product for you, taking into account these factors before making a commitment to purchase any product or invest in an investment. In the event that you choose not to seek advice from a licensed or an exempt financial adviser, you should carefully consider whether the product or service described herein is suitable for you.

You are fully responsible for your investment decision, including whether the investment is suitable for you. The products/services involved are not principal-protected and you may lose all or part of your original investment amount.

Standard Chartered Bank (Singapore) Limited will not accept any responsibility or liability of any kind, with respect to the accuracy or completeness of information in this article.

Singapore dollar deposits of non-bank depositors are insured by the Singapore Deposit Insurance Corporation, for up to S$100,000 in aggregate per depositor per Scheme member by law. For clarity, these investment products are not deposits and do not qualify as an insured deposit under the Singapore Deposit Insurance and Policy Owners’ Protection Schemes Act 2011. Foreign currency deposits, dual currency investments, structured deposits and other investment products are not insured.

The information stated in this article is accurate as at the date of publication.