BlackRock: Artificial intelligence is still one of the main lines of investment, optimistic about equity investment opportunities in markets such as the Chinese stock market

The Zhitong Finance App learned that BlackRock said it is still optimistic about investment opportunities related to artificial intelligence themes, but it will also fine-tune the portfolio allocation according to the actual situation. The broad winners in the AI construction phase will be the focus of focus, as there are also beneficiaries in fields other than the tech industry, such as energy and utilities. Investments in artificial intelligence have only just begun. However, fluctuations in the valuation of artificial intelligence stocks reflect the future full of variables. Significant future investments will flow into industries such as physical assets, infrastructure, and technology. The market value of a chip giant rose to 3 trillion US dollars, and the sharp rise in market capitalization and stock price fluctuations reflect huge investment expectations and uncertainties brought about by the field of artificial intelligence. I am optimistic about equity investment opportunities in various markets around the world, such as the Chinese stock market.

Chinese stock market

In light of the positive signals from the policy, BlackRock raised its views on China's stock assets to the point where it was moderately overallocated. Currently, Chinese stock valuations are heavily discounted compared to developed market stocks, and the Chinese government plans to implement major fiscal stimulus measures to help encourage investors to enter the market. However, because the Chinese economy is still facing structural challenges, BlackRock will also be prepared to adjust the allocation at any time, and will continue to observe the actual effects of the policy.

US stocks

BlackRock believes that the rise in US stocks is expected to expand, and that the broad increase in corporate profits and the preference for high-quality assets will make BlackRock overall more suited to US stocks. At the same time, they are optimistic about opportunities related to artificial intelligence topics, and have overmatched views on related sectors. Technology companies' profits continue to exceed high expectations, increasing the valuation of companies benefiting from the development of artificial intelligence. Falling inflation is expected to provide further support for industries with high profit margins other than the tech industry.

Japanese stock market

BlackRock continues to overbalance Japanese stocks, but has reduced the overallocation margin. Japan's brighter economic outlook and corporate reforms are driving up corporate profits and shareholder returns. The risk, however, is that the appreciation of the yen is a drag on corporate profits, and the Bank of Japan's policy signals are ambivalent.

Indian Stock Market

Emerging market stock prices are discounted compared to developed market stocks. In the long run, the valuation of Indian stocks is still reasonable. In terms of strategic allocation, BlackRock overtakes emerging market stocks and believes that emerging markets such as India will benefit from the opportunities brought by the convergence of disruptive trends.