UBS Global Wealth Management’s chief investment office says artificial intelligence and broader technology themes will remain the dominant engines of global equity performance in 2026, extending the powerful run seen throughout 2025.
In its latest outlook, UBS argues that the macro backdrop is turning more supportive, with global growth expected to firm in the second half of next year. The bank forecasts
- US GDP at 1.7%, underpinned by easier financial conditions and expansionary fiscal policy,
- Eurozone growth at 1.1%,
- and APAC growth near 5%.
Despite concerns about stretched Big Tech valuations and lingering bubble fears, UBS strikes an upbeat tone:
- believes AI, fiscal support and monetary easing can continue to propel markets higher, even as longer-term headwinds like demographics and deglobalisation persist
- expects global equities to rise about 15% by end-2026
- the US, the firm favours technology, utilities and healthcare;
- Europe, industrials, technology and utilities;
- Asia, China stands out, especially its tech sector, where earnings growth is expected to surge 37% in 2026.
- UBS also highlights opportunities in Japan, Hong Kong, Singapore and India, and maintains a positive global view on banks.
On commodities, UBS sees continued support from supply constraints, geopolitical risk and the long-term energy transition. It identifies opportunities in copper, aluminium and agricultural commodities, while gold remains a useful portfolio diversifier.
