L&G’s 2026 Global Outlook assesses how AI-driven capex, fiscal strain and geopolitical uncertainty are reshaping asset allocation across public and private markets
-
The US remains the swing factor for global growth, with AI investment supporting resilience but labour-market softness and tariff aftershocks posing downside risks.
-
AI capex could reach trillions through 2030, increasingly debt-funded, raising questions around spreads, sovereign financing, and concentration risk in hyperscalers.
-
Elevated public debt and rising term premia revive fiscal sustainability concerns, yet US Treasuries still function as a relative safe haven.
Is this the start of a durable productivity boom—or a cycle built on leverage and sentiment? The full outlook explores the cross-asset implications.
To read this article, you need a subscription to Investment Officer. If you don't have a subscription yet, click on 'Subscribe' to see the various subscription options.
