DBS Outlines Investment Opportunities for the Second Half of 2026

In the second half of 2026, the DBS Chief Investment Office (CIO) recommends that investors increase their allocation to Asia ex-Japan equities, developed market corporate bonds, gold, as well as private assets and hedge funds. Conversely, European equities, emerging market bonds, and cash are identified as assets that should be reduced. While opportunities remain open, they must be approached through a diversified portfolio.

Geopolitical uncertainty, interest rate trajectories, and market volatility demand measured decision-making. Holding funds in cash is not a risk-free position, as its value can be eroded by inflation, while opportunities in other asset classes continue to persist. The summary of the DBS CIO position as of 3Q26 is detailed in their strategic outlook.

Each asset class serves a different function. Equities act as a source of growth, bonds provide periodic income, and gold assists in diversification and hedging. In the 3Q26 outlook, gold is supported by geopolitical risks, inflationary pressures, and the global trend of de-dollarisation; however, it remains positioned as a complement to, rather than a replacement for, equities or bonds. Diversification and rebalancing should be adjusted according to risk profiles and investment horizons.

These views were among the discussions held during the ‘DBS Insights Forum 2026: A New Lens on a Multipolar World’, organised by PT Bank DBS Indonesia.

Lim Chu Chong, President Director of PT Bank DBS Indonesia, stated, “We remain committed to supporting our clients in being more optimistic in their decision-making through professional guidance and long-term strategic views.”

Throughout the first half of 2026, DBS Treasures Private Client recorded a 13% year-on-year growth in Total Assets Under Management. Further details are available in the summary of investment opportunities for the second half of 2026 according to DBS.