Fa Bai: The Hang Seng Index may reach 23,000 points this year, and tech stocks and high-yield stocks are favored.
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2025-02-10 14:14
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Zhitongcaijing
Prashant Bhayani, Chief Investment Officer of Wealth Management in Paris at Bank of France, predicts that the United States will cut interest rates twice by 25 basis points each in 2025, with the final interest rate reaching 4%.
French Paris Bank holds a Year of the Snake Market Outlook Press Conference. Tan Huimin, Chief Investment Strategist of Wealth Management at French Paris Bank in Hong Kong, predicts that the Hang Seng Index could rise this year, reaching a high of 23,000. With the introduction of Deepseek, mainland technology companies are more focused on AI applications, and their profit expectations are continuously being raised, making them very attractive. Good prospects are also seen for technology stocks. At the same time, high dividend stocks are also favored due to the market volatility caused by tariffs.
Prashant Bhayani, Chief Investment Officer for Wealth Management in Asia at French Paris Bank, stated that central banks around the world have started cutting interest rates to help the job market and stimulate economic growth. This cycle of interest rate cuts is expected to last at least until the end of 2025. He predicts that the United States will cut interest rates twice by 25 basis points in 2025, with a final interest rate of 4%.
In terms of infrastructure, investments in roads, networks, power lines, and water pipes must be accelerated to meet the needs of residents. The urgency is also exacerbated by climate change and the development of new technologies.
Tan Huimin suggested that in order to further reduce portfolio risk, investors should consider alternative assets such as private credit or structured products, in addition to stocks, bonds, and real estate investments.
Opportunities for indirect investment in AI include: industrial, media/marketing, and retail companies benefiting from AI-related technologies in the next twelve to twenty-four months to improve productivity; power and data center infrastructure; robots and automation; and pharmaceutical research and diagnosis in healthcare and logistics efficiency, among others.
Investment opportunities in the healthy aging market are seen in selected pharmaceutical and biotech companies, real estate funds and REITs focused on healthcare, health and wellness, and financial services such as health insurance.
Tan Huimin predicts moderate global growth, with inflation depending on Trump's 2.0 policy. Global monetary easing policies will continue, creating opportunities in fixed income and foreign exchange areas, despite varying paces. Meanwhile, the recent strength of the US dollar is being realized.