UBS(US:UBS) Zheng Quan Shi Bao Wang·2025-12-10 08:32Core Viewpoint - The UBS Wealth Management Chief Investment Office (CIO) report projects a favorable economic environment supporting global equities, with an expected upside of approximately 15% by the end of 2026 [1] Group 1: Economic Environment and Stock Market Outlook - The report highlights robust economic growth in the U.S. and accommodative fiscal and monetary policies benefiting sectors such as technology, utilities, healthcare, and banking [1] - Stock markets in the U.S., China, Japan, and Europe are anticipated to rise [1] Group 2: Key Drivers of Growth - AI and technology are identified as significant drivers for the anticipated rise in global equities, with strong capital expenditures and rapid adoption expected to provide further support by 2026 [1] - Investors are advised to be cautious of bubble risks while maintaining a diversified stock portfolio, suggesting a maximum allocation of 30% in AI, longevity economy, and structural trends in electricity and resources [1] Group 3: Opportunities in China - The Chinese technology sector is emphasized as one of the most important opportunities globally, supported by ample liquidity, retail investor inflows, and projected corporate earnings growth of up to 37% in 2026 [1] - Investors seeking diversification may consider deploying into Asian markets, particularly India and Singapore, or emerging markets to capitalize on this growth theme [1]