Artificial intelligence trading declined rapidly after the US midterm elections, forcing investors to reconsider their investment strategies in Asia, driving Indian stocks, which had previously fallen out of favor, as well as companies that are expected to benefit from easing inflation and trade tensions, to regain popularity. While Aberdeen is optimistic about markets driven by strong domestic growth, such as India and Vietnam, Allianz Global Investors is targeting healthcare and consumer companies. Investors expect the AI industry to face stricter scrutiny, while questioning whether the huge amount of money invested in computing infrastructure can bring sufficient returns, making the Asian market particularly vulnerable to shocks. “I expect investors to diversify more widely to reduce the concentration on AI transactions,” said Rajeev De Mello, global macro portfolio manager at Gama Asset Management SA.

Artificial intelligence trading declined rapidly after the US midterm elections, forcing investors to reconsider their investment strategies in Asia, driving Indian stocks, which had previously fallen out of favor, as well as companies that are expected to benefit from easing inflation and trade tensions, to regain popularity. While Aberdeen is optimistic about markets driven by strong domestic growth, such as India and Vietnam, Allianz Global Investors is targeting healthcare and consumer companies. Investors expect the AI industry to face stricter scrutiny, while questioning whether the huge amount of money invested in computing infrastructure can bring sufficient returns, making the Asian market particularly vulnerable to shocks. “I expect investors to diversify more widely to reduce the concentration on AI transactions,” said Rajeev De Mello, global macro portfolio manager at Gama Asset Management SA.