Investcorp's executive chairman, Mohammed Alardhi, has expressed a bullish outlook on US economic growth during Donald Trump's second term, predicting that assets under management (AUMs) will exceed $60 billion by the end of 2025. This optimism is bolstered by an improved investment environment, particularly in private equity and initial public offerings (IPOs), with the risk of a global recession reportedly decreasing from 70% to 30% [a27cc543].
However, Alardhi also cautions about potential inflation and geopolitical risks, particularly stemming from the ongoing Ukraine-Russia conflict. He noted that Trump's tariffs could disrupt global trade, which may have cascading effects on the economy [a27cc543].
In addition to these economic forecasts, Alardhi highlighted significant reconstruction opportunities in regions such as Palestine, Lebanon, and Syria, estimating that the reconstruction of Gaza alone could cost around $50 billion. Investcorp aims to reach $100 billion in AUMs, with a strong focus on technology investments, including a recent $100 million funding round for Trukker and investments in Saudi Arabia [a27cc543].
This perspective aligns with insights from Daniel Casali, chief investment strategist at Evelyn Partners, who previously outlined five key investment strategies for 2025, emphasizing the expected outperformance of US equities and cyclical sectors such as financials and real estate [4b9ca8c0]. Casali's analysis also pointed to the importance of being cautious about potential risks in the bond market and geopolitical tensions that could affect market stability moving forward.
Both Alardhi and Casali stress the need for investors to remain vigilant and adaptable in the face of evolving economic conditions, as well as the opportunities and risks presented by the current political landscape [891b27bb].