Equities

Korea’s governance reforms tackle the 'Korea discount' by enhancing transparency and minority shareholder rights. Measures like mandatory treasury share cancellations and stronger board independence aim to unlock corporate value and drive fairer valuations. A pivotal step toward more equitable markets.

Markets today resemble Aesop’s fable The Boy Who Cried Wolf, with many investors conditioned to dismiss risks after years of shallow, short-lived downturns and swift recoveries fueled by central bank interventions. We believe this complacency has led to higher valuations and reduced defensiveness, creating structural fragility.

Despite the global ESG backlash, companies are continuing to work toward sustainability goals. The Conviction Equities Boutique’s Engagement Report captures the trends emerging for their dialogues and explains the team’s approach.

Equity markets have become concentrated in a handful of mega-cap stocks, leaving many high-quality small- and mid-cap (SMID) companies overlooked. But what does the combination of concentration, valuation, and structural megatrends mean for investors?

Railroads play a critical role in facilitating the efficient movement of goods and essential commodities in North America. Over the last thirty years, railroads have evolved from heavily regulated businesses with returns at or below their cost of capital into lightly regulated and capital-efficient networks distinguished by infrastructure that is difficult to replicate. This article discusses the investment merits of listed railroads and examines how the recent industry dynamics will impact future growth.

Energy sovereignty efforts and competitiveness are fostering the transition from a system based on finite, extracted resources with volatile prices to one centered on generated technologies with decreasing costs as production scales. Investing in the full spectrum with an active approach offers the opportunity to accelerate the transition and share in its rewards.

Artificial intelligence (AI) may be one of the greatest technological breakthroughs, but it’s too early to tell. History shows that investment returns don’t always match innovation hype. However, we do know that economic fundamentals have not changed, which means that investments must become self-financing and deliver adequate returns to be sustainable.

Vontobel’s Ed Walczak is among a small number of portfolio managers active today who were also managing money during the dot-com bubble. Ed compares the two time periods and explains how having zero exposure in tech and telecom in the dot-com era, while unpopular, rewarded his investors.

Emerging market equities enjoyed an impressive year but have investors missed the boat? We don’t think so. In fact, we believe 2025 marked the first year of positive change for at least two key structural factors, which could spark the beginning of a new positive cycle for EM equities.

The 2026 Large Language Models Outlook examines the current state of artificial intelligence as it relates to LLMs, highlighting diversity, specialization, and global competition. Learn how open- and closed-weight models, regulatory approaches, and strategic deployment are shaping industries today, from finance to mathematics, and explore the trends likely to define AI’s trajectory in the year ahead.

The turbulence and uncertainty that defined stock markets in 2025 kept investors on their toes. 2026 offers grounds for optimism.

AI is expanding what systematic investing can achieve — from unlocking deeper insights in complex data to building more adaptive, responsive portfolios. This piece explores the shift from classical quant to Quant 2.0 and what a more adaptive, data-driven future could look like.

While the promise of AI remains compelling, its market dominance and reliance on external financing create vulnerabilities. By seeking opportunities in areas of predictable growth and resilience – both within and outside the AI ecosystem – we believe investors can better navigate the uncertainties ahead.

The Income team analyzed the performance of the Euro Stoxx 50 Buy Write Index, a simple covered call strategy, over 25 years. The piece shows how different return drivers behaved across cycles and provides context for long-term income patterns within European equity income strategies.

AI models don’t have to be black boxes. In the final article of our Expl(AI)ning series, discover how SHAP values reveal the contributions behind model predictions, enhancing transparency and trust in AI-powered investing. See how we use these insights within our AI Powered process.

Leaders in the video game industry, such as Tencent Holdings, NetEase, and Capcom, offer a distinct blend of predictability and growth through a combination of "Evergreen" titles and new game pipelines. These firms have generated recurring revenues and compounded earnings at approximately 20% annually over the past decade.

Can the top 2% make all the difference? The quantitative team tested an AI-powered stock picker across 20 years of data. By analysing hit rates alongside market concentration and dispersion, they uncovered fresh insights into portfolio management. Discover how AI reshapes investing in our latest article.

AI-driven momentum trades and non-US value dominated markets in 2025. However, the sustainability of these trends remains uncertain, particularly given unproven ROI of AI investments. Amid this backdrop, quality stocks emerge as a prudent choice, offering both resilience and steady growth potential.

Backtests can mislead—or unlock real edge. In Part II of our mini-series, we show how to avoid common pitfalls, cut through bias, and turn backtests into a reliable tool for decision-making. Practical, actionable, and built for real-world investing.

Backtesting can reveal powerful insights—or create dangerous illusions. In Part I of our mini-series, we show how biases and shortcuts can inflate results, using a simple momentum strategy as an example. Learn why careful design matters before moving from simulation to real-world investing.

Swiss equities are often seen as a safe haven, but they come with their own challenges. These can be tackled elegantly.

The success of an equity portfolio depends on the selection of the underlying companies. In today’s changing world, innovative, diversified, and agile companies have a clear advantage, according to our Swiss Equities Team, which closely monitors 140 Swiss companies and assesses their quality through regular meetings and site visits to gain insights into their corporate culture.

ESG frameworks have faced rising political pushback and growing skepticism, with some investors questioning the feasibility of climate goals under current political and economic conditions. We believe, even during turbulent times, the transition to a low-carbon economy is here to stay. Read the latest Impact Report for more insights.

With rising temperatures, many investors are drawn to companies that offer adaptation solutions. While adaptation is essential, mitigating climate change and decarbonizing the economy also remain vital. Discover where adaptation and mitigation intersect – particularly in the realm of cooling – and how they can interact to create a more sustainable world.