Insights

The global economy is caught between the two opposing trends: the negative impact of war, and the massive artificial intelligence boom. While the dangers of war are obvious to everyone, the AI mania could create financial and economic vulnerabilities. Historically, these hidden risks cause more damage for investors than geopolitics.

The 250th anniversary of US independence is a moment for reflecting on the many areas where it is globally dominant, but also on how the foundations of its greatness are being eroded. And whether these changes are reflected in financial market valuations.

The World Cup is welcome distraction from the world's problems, but there is no denying that the geopolitical environment has become increasingly complex. This is partly because domestic politics in many countries has become so messy. The drivers of this change are likely to intensify, meaning investors should be prepared for more shocks, similar to the Brexit vote of 10 years ago.