Temasek International Chief Investment Officer Rohit Sipahimalani said a reversal in AI investment momentum and inflation-driven increases in bond yields could end the stock market rally and represent the biggest risks facing global markets next year.

He said a reversal in AI investment momentum is the biggest risk. Although he does not believe this will happen immediately, markets could turn volatile next year. Inflation is another risk, and combined with changes in the interest rate environment, this means stock markets could collapse at some point.

As of March 31, Temasek's assets under management reached SGD518 billion. The company also committed this year to more than double its allocation to AI-related investments by 2031, increasing the ratio from 6% to as much as 15%. AI has become a major driver of the company's returns, and it has also invested in OpenAI, Anthropic and NVIDIA Corporation (NVDA.US).
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AASTOCKS Financial News
Website: www.aastocks.com

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