Will 2026 be another year of divergence?

Next year seems set to be marked again by widespread divergence. Slowing global growth, uneven inflation and policy uncertainty will likely continue into 2026, placing a potentially heavy emphasis on dynamic investment approaches and tactics to capture value. In the US, concerns over the Federal Reserve’s leadership and future rate cut decisions remain, along with ongoing tariff worries. However, the Fed Funds terminal rate is likely to be around 3% by mid-year, potentially boosting the appeal of US assets. The UK’s political landscape is expected to remain unstable next year, with potential...