UBS Investor Watch on the Year Ahead

Market outlook for 2020 and investment opportunities for the decade ahead

Keeping up with the latest insights can provide you great ideas about making the right decisions for your wealth. That's why we surveyed global investors on their outlook for 2020 where they told us about their main concerns on achieving their personal and financial goals.

We found that, this time, the optimism that traditionally greets a new year is tempered by hesitation and a greater sense of caution.

But beyond 2020, looking toward to the new decade, investors feel far more confident about the profound changes they see on the horizon.

We invite you to explore investors' views on global markets below.

UBS Investor Watch is a survey by UBS Wealth Management that tracks, analyzes and reports the sentiment of global high net worth investors on a variety of topics, including overall financial sentiment, economic outlook and concerns, personal goals and concerns and key topics, like aging and retirement.

 

Chapter 1 Investor outlook: Is now a good time to invest?

Investors see reasons to be cautious in the new year. Almost 8 in 10 investors feel markets are moving toward a period of higher volatility. More than half of investors expect a significant drop in the markets at some point in 2020. As a result, 52% are unsure if now is a good time to invest.

Nearly three in four investors say the investment environment is more challenging than it was five years ago. The majority (58%) feel less in control of their portfolios' performance than they used to.

Global investors believe there will be more market volatility in 2020

Chapter 2 Geopolitics tops investors' concern

Two in three global investors believe markets now are driven more by geopolitical events than business fundamentals such as profitability, revenue and growth potential. In a globally interconnected world investors view the US-China trade conflict, the political environment in their market and the 2020 US Presidential election as the biggest threats to investment portfolio performance.

Globally, 44% of investors are highly worried the US-China trade conflict will impact their portfolios in 2020.

UBS investor survey shows that geopolitics is investors main concern in 2020

Chapter 3 Investors see "mega-trends" fueling investment returns

Seven in 10 investors feel optimistic about their portfolio returns over the next decade. Investors have identified a number of “mega-trends” they see changing the world, most notably an aging population, increasing technology and diminishing natural resources.

Investors expect the technology, healthcare and energy sectors to benefit the most from mega-trends in the decade ahead. A full 88% are interested in aligning their portfolios to these trends.

According to the UBS investor survey 2020, mega trends such as aging population and increasing technology will impact future investment decisions

Want to know more?

To gain further insight into the investors' views on the global markets, download the full UBS Investor Watch report.

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About the survey: For this edition of UBS Investor Watch, we surveyed more than 3,400 high net worth investors (with at least $1 million in investable assets). The global sample was split across 13 markets: Brazil, China, Germany, Hong Kong, Italy, Japan, Mexico, Singapore, Switzerland, Taiwan, UAE, the UK and the US. The US sample consisted of 1,001 investors, including 262 with at least $5M. The research was conducted between August 2019 and October 2019.

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