Brite
  • About us
    • How we invest
    • Invest with Brite
    • Our services
    • Our fees
    • The Brite team
    • The Brite platform
    • Investment portfolios
  • Pensions
    • Transferring a pension
      • Transferring UK pensions to Australia
      • Transferring UK pensions to South Africa
      • Transferring UK pensions to the UAE
    • Lifetime pension allowance
    • Defined benefit pension transfers
    • SIPPs
    • QROPS and ROPS
    • QNUPS
    • Guide to saving for retirement
  • Knowledge Base
    • Brite blogs
    • Guides
    • Tools
    • Investing giants
    • FAQs
    • South Africa policies
  • Client Login
  • Contact
    • Careers
    • Our complaints policy

What does 2023 hold in store for investors?

  • Mark Donnelly
  • January 24, 2023

As we all know, predicting the future is a futile endeavour. As such, our recommended strategy is to focus on the things that can be controlled, such as your investment costs and portfolio diversification.

However, understanding sentiment can be useful as it is a major market driving force. So, in this article, we looked at survey-based data to see what people believe will happen in the year ahead, including experts’ top risks and predictions.

Risks

*The following data is based on the Global Risk Report from the World Economic Forum.*

Respondents were asked to rate the top five currently manifesting risks in order of how severe their impact will be on the year. The results were as follows:

  1. Energy supply crisis
  2. Cost of living crisis
  3. Rising inflation
  4. Food supply crisis
  5. Cyber attacks on critical infrastructure

Experts’ Predictions

Data analysed by Visual Capitalist in their annual prediction consensus shows the most common predictions made by industry experts such as the IMF, Goldman Sachs, Vanguard and a long list of major banks, fund houses and economic experts in the media.

They looked at over 500 publications and statements made by the experts to see which were the most common predictions for 2023. These are the 25 most common predictions in order of most common first:

  1. Artificial Intelligence will pop up everywhere
  2. Global recession risk is high
  3. The US dollar surge has come to an end
  4. Bonds are a good investment option
  5. Interest rates will peak in 2023
  6. The outlook is positive for emerging markets (Especially commodity exporters)
  7. Real global GDP growth will be between 1.5% and 2%
  8. China’s economy will bounce back after reopening
  9. Value will trump hypergrowth
  10. Inflation will cool off but remain above target levels
  11. Regulators will clamp down on TikTok as well as other tech companies
  12. Energy will remain expensive
  13. No Taiwan invasion
  14. The crypto winter will continue
  15. Broad equity indices will rise
  16. Google’s stronghold on search will loosen
  17. The Russia – Ukraine war will not end in 2023
  18. Following Elon Musk, Silicon Valley will slash staff and costs
  19. Work culture will continue to bend towards flexibility
  20. Tension will grow between citizens and governments
  21. European unity will be tested
  22. Education will face disruption from various angles
  23. India will have a strong year
  24. More big retail brands will launch recycling programs
  25. More manufacturing will shift away from China

Interestingly some of these have already started to come true, such as tech firms cutting staff and A.I being more prevalent. Microsoft just announced a culling of 10,000 employees last week, and Open A.I’s ChatGPT and many A.I image generators making headlines already this year.

Global Stock Market Sentiment

The IPOS Global Advisor Survey looks at results gathered from 36 different countries and more than 24,000 adults who were asked a question on whether “major stock markets around the world will crash” in the following year and were asked to respond either “likely” or “unlikely”.

The results of this survey indicate that 50% of people think global stock markets are likely to crash in 2023 and only 31% believe this to be unlikely (19% not answering either way). This is a 13% increase in people believing a stock market crash is likely compared to the survey results in 2022.

Sentiment can be a strong driving force and, in some cases, an almost self-fulfilling prophecy, so it is worth noting this increase in negative sentiment. However, we can also see that much of last year’s predictions didn’t come to fruition, so it would be unwise to make drastic changes to a portfolio in response to this data.

Ready to find out more?

Please contact us if you’re a UK ex-pat with a private pension and want to learn more about transferring your UK pension abroad or growing your wealth for retirement.

Recent posts

Mobile Investing

Are mobile investing apps encouraging people to take higher risks?

Mark Donnelly March 30, 2023

Mobile investing and trading apps have become an increasingly popular tool for independent investors, but there are questions regarding their suitability. Factors such as increased risk and lack of diversification mean these trading platforms

Read More »
Sector

Stock Market Sectors: What to look for when Investing in the 11 GICS sectors

Mark Donnelly March 23, 2023

Each of the stock market sectors have companies worth looking at. In this article we highlight some of the most promising companies in each of these 11 sectors that could potentially provide investors

Read More »

Millions of Brits expected to benefit from Abolished Lifetime Allowance

Mark Donnelly March 15, 2023

Jeremy Hunt recently unveiled new plans to abolish the lifetime allowance for pension savings to address concerns that set allowances are driving doctors and other professionals into retirement.  This news is huge for UK expats with

Read More »
image

Regulation

Brite Advisors Pty Ltd. is licensed in Australia with the ASIC (AFSL 337670). The Brite Advisors SA (Pty) Ltd is registered with the FSCA in South Africa under FSP number 51690. In the UK, Brite Advisors (UK) is a trading style of Basi & Basi Financial Planning Ltd. which is authorised by the Financial Conduct Authority (FRN 513993). Brite Advisory Group also has numerous pensions schemes, administered in Hong Kong, UK, Gibraltar and Malta.

Brite Advisory Group has taken all reasonable steps & care in producing the information & statements issued on this website and accept no responsibility or liability for any errors, omissions or misstatements. Brite Advisors and its representatives have provided opinions, forecasts and recommendations based on information available at time of issue and hold the right to change their judgement and assumptions at any time and without notice.

There is always risk involved in purchasing financial products.

There is no guarantee of the future performance of financial products regardless of previous performance.

Quick Links

  • About us
  • Pensions
  • Our services
  • Terms & conditions
  • Privacy policy
  • Disclaimer
  • Contact

Contact Info

  • [email protected]

Brite © 2023 All Right Reserved.