According to HSBC Private Bank’s Q3 2026 Investment Outlook, artificial intelligence, energy independence, and national security are set to drive the next wave of strategic investments and fuel global corporate earnings. The bank expects private markets to play an expanded role in supplementing investment amid traditional funding gaps. Willem Sels, Global Chief Investment Officer, warned that volatility is here to stay, advocating for resilient and diversified multi-asset portfolios. The bank’s strategy uses a “barbell approach,” balancing high-growth innovation in semiconductors, data centres, and AI adopters with stable, inflation-linked cash flows from infrastructure and gold, with a geographical focus on mainland China, Hong Kong, Singapore, and South Korea. Desmond Kuang, Chief Investment Officer for Asia, noted Asia is uniquely positioned to benefit from the AI surge. Regarding Malaysia, Kuang described economic momentum as stable, with GDP growth moderating to 5.4 per cent in the first quarter, and HSBC maintaining a full-year 2026 GDP growth forecast of 4.5 per cent. He highlighted that domestic inflation remains largely benign, supported by subsidies, and that Malaysia’s status as a major net exporter of natural gas provides a strategic advantage amid the ongoing Middle East conflict. HSBC retains a neutral outlook for Malaysia.