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GoWealth
30 Jul 2026

2026 Second-Half Investment Outlook – Global Equity

2026 Second-Half Investment Outlook – Global Equity

Amid the continued evolution of the global economic and market landscape, equities remain an important source of long-term capital appreciation for investors. By investing in high-quality companies with strong growth potential and benefiting from the active management of professional investment teams, equity funds can help investors capture opportunities across different markets and sectors, while providing long-term growth momentum for their portfolios.

Below is a selection of the latest views on global equity markets from various fund managers for your reference*:

 

Global Equity

The consensus across leading fund houses is clear**: while global markets are expected to continue offering investment opportunities in the second half of 2026, the overall investment landscape is becoming increasingly complex. In this environment, investment success is likely to depend more heavily on active management, disciplined security selection, and diversified portfolio construction.

 

About U.S. equities, Fund House(s) agree that earnings growth driven by AI continues to provide strong support for the U.S. equity market. However, Fund House(s) also emphasize(s) the risks associated with market concentration and elevated valuations:

  • Allianz cautions investors to remain mindful of valuation levels and concentration risks. As AI increasingly becomes an important driver of performance in emerging markets as well, investors should carefully manage concentration risk through broad diversification across asset classes, sectors, and regions;
  • Fidelity notes that recent market gains have been driven predominantly by a small number of large-cap technology companies, resulting in a structurally concentrated market environment;
  • Invesco believes that the U.S. economy continues to benefit from its energy independence, resilient consumer spending, and a sustained AI investment cycle. AI remains a key driver of corporate earnings growth and market performance;
  • JPM likewise highlights market concentration risk, while noting that profit margins among software and semiconductor corporates have expanded significantly. The Fund House believes that robust earnings growth.

 

Asia and Emerging markets present compelling structural opportunities, though performance is expected to diverge significantly across regions. Outcomes will largely depend on each economy’s participation in the AI industrial chain and its exposure to commodity cycles:

 

  • Allianz is constructive on Asia equities, citing opportunities from AI, infrastructure and industrial investment trends. It highlights China's expanding AI ecosystem and sees Taiwan and South Korea as beneficiaries of strong AI-related demand.
  • Invesco expects Asia to benefit from a durable AI infrastructure build-out and strengthening technology exports. It highlights Taiwan and South Korea as beneficiaries of semiconductor and memory-chip demand, while Japan is supported by fiscal stimulus and technology investment.
  • Fidelity views AI-driven growth as a dominant investment theme across Asia and favors markets with strong exposure to AI infrastructure and semiconductor demand. It is positive on South Korea, Taiwan and China, while also seeing opportunities in Japanese mid-cap equities due to improving domestic demand and governance reforms. However, it cautions that valuations in some AI-related sectors have become increasingly stretched.
  • JPM believes AI opportunities are broadening across the technology supply chain and identifies Korea and Taiwan as key beneficiaries of AI hardware investment. It also notes that Japan's corporate governance reforms could support equity performance, while warning that market concentration in AI-related stocks may increase volatility.

 

About European equities, Fund House(s) acknowledge(s) that European markets continue to face headwinds from energy-related challenges and slower economic growth. However, Invesco also highlights the potential for a cyclical recovery, supported by fiscal stimulus and a normalization of energy supply conditions; Fidelity points out that elevated energy prices continue to weigh on the European economy.


Means Top 3 Performing HKD Equity Funds under Featured Funds distributed by WeLab Bank as of 30 June 2026 . Investment involves risk. For information only and it is not investment advice. Past performance is not indicative of future performance. Click “Investment” > “Featured Funds” to read the fund performance details.


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Remarks

*Based on investment outlook or market analysis document(s) for 2026 published by leading fund houses (“Fund House(s)”) including Allianz Global Investor (“Allianz”), Fidelity International, Invesco, and J.P. Morgan Asset Management (“JPM”), we have compiled and developed the <2026 Second-Half Investment Outlook>. For details and the exact wording adopted by these Fund House(s) on particular investment outlook, please study relevant documents issued by respective fund house as listed out in Section “Source document(s) of 2026 Mid-Year Market Outlook of Fund House(s) “ of this document. The information contained herein is derived from publicly available market information and is for reference only.


**Source: Section “About U.S. equities” , Section “About Asian equities” and Section “About Europe equities” in <2026 Second-Half Investment Outlook >

- Allianz < House View Q3 2026: Shock absorption > Page 2，4，6. 

- Fidelity < Global Outlook: The shock absorbers > Page 4，5，7，11. 

- Invesco < 2026 midyear outlook: A world disrupted? Resilience endures > Page 3，6，10，13-14，16. 

- JPM < Mid-Year Outlook 2026 | Don’t park the bus > Page 6，7，9. 


Source document(s) of 2026 Mid-Year Market Outlook of Fund House(s):

- Allianz House View Q3 2026: Shock absorption，as of June 2026 

- Fidelity Global Outlook: The shock absorbers，as of June 2026 

- Invesco 2026 midyear outlook: A world disrupted? Resilience endures，as of June 2026 

- JPM Mid-Year Outlook 2026 | Don’t park the bus，as of June 2026 


*** “Top 3 Performing HKD Equity Funds” lists the top 3 performing HKD equity funds among all Featured Funds as distributed by WeLab Bank based on the 1-year return. Fund return performance and other information are provided by Morningstar Asia Limited. The information is as of 30 June 2026. We are not responsible for the accuracy of the information. Past performance is not indicative of future results. Please refer to the relevant fund offering documents for details of fund performance information. Schroder Global Gold Fund (HKD) (Accumulation) calendar year performance: 2021: N/A, 2022: -12.10%, 2023: 12.99%, 2024: 15.97%, 2025: 192.77%; Allianz China Future Technologies Fund (HKD) (Accumulation) calendar year performance: 2021: N/A, 2022: N/A, 2023: -5.89%, 2024: 4.33%, 2025: 42.98%; Allianz Total Return Asian Equity (HKD) (Monthly Dividend) calendar year performance: 2021: -10.18%, 2022: -22.82%, 2023: 2.72%, 2024: 2.30%, 2025: 31.42%.


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Disclaimer  

This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The investment products or services mentioned in this webpage are not equivalent to, nor should it be treated as a substitute for, time deposit, and are not protected by the Deposit Protection Scheme in Hong Kong.

The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.

Investment involves risks. The price of an investment fund unit may go up as well as down and the investment funds may become valueless. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). 

You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.

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This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.