K-Asset touts disciplined portfolios

Investors are recommended to focus on diversification, income generation and long-term resilience of their portfolio as global markets enter a more complex and volatile phase shaped by artificial intelligence (AI), geopolitical fragmentation and rising debt burdens, says Kasikorn Asset Management (K-Asset).

- BOONSONG LIPIMAS

Win Phromphaet, executive chairman of K-Asset, said the year ahead will be defined by structural changes rather than short-term market cycles, making disciplined portfolio construction more critical than ever.

"The 2026 global economy is expected to slow, but it is unlikely to slip into negative growth," said Mr Win.

"Challenges will continue to come from wars, trade and technology tensions, elections in the US and Thailand, as well as unexpected events such as natural disasters."

He acknowledged the global investment environment in 2026 will be shaped by monetary policy transitions, a new global trade order, geopolitical realignment and rapid innovation driven by AI.

"These factors are creating a more volatile and unpredictable landscape, reinforcing the importance of diversification and building a robust core portfolio that can withstand market turbulence," said Mr Win.

As a result, he said investors should diversify their exposure by looking beyond AI to other technology-driven sectors such as electric vehicles, biotechnology and Asian technology companies.

Regarding concerns of a potential AI bubble, Mr Win said this scenario is unlikely, given the strong and continued earnings growth of global tech companies.

However, he cautioned investors against complacency, noting the rapid proliferation of AI-related stocks.

Martina Watcharawaratorn, head of investment strategy at K-Asset, said the global economy in 2025 proved resilient despite heightened risks, including geopolitics, wars, trade tensions and technology restrictions.