Greater China Equities: Driving the next leg of innovation
31 December 2025
Kai Kong Chay, Senior Portfolio Manager, Greater China Equities
Wenlin Li, Senior Portfolio Manager, Greater China Equities
Ben Yu, Head of Equities, Taiwan Region
Greater China equity markets registered a strong equity rally in 2025 to date, driven by technology breakthroughs, demand for localisation, go-global demand, and upward earnings growth revisions. We reiterate a positive view on Greater China equity markets going into 2026 as we believe Chinese Mainland and Taiwan are well-positioned to drive high-quality growth to the next level.
Summary:
We reiterate a positive view on Greater China equity markets going into 2026, supported by attractive valuations and resilient fund flows.
We believe there are various investment opportunities for Chinese Mainland, notably in technology, industrials, renewable energy, healthcare, and new/niche/experienced consumption.
For the Taiwan region, we expect further corporate earnings expansion in 2026, with structural growth opportunities in foundries, outsourced semiconductor assembly and test (OSAT) supply chain, thermal cooling solutions and power supply solutions.
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In addition to the recent breakthroughs in AI and humanoid robot development, we observe other positive catalysts that further support the region’s market.
Greater China equity markets registered a strong equity rally in 2025 to date, driven by technology breakthroughs, demand for localisation, go-global demand, and upward earnings growth revisions. We reiterate a positive view on Greater China equity markets going into 2026 as we believe Mainland and Taiwan are well-positioned to drive high-quality growth to the next level.
2026 Global Macroeconomic Outlook: clearer picture, better growth
Our 2026 macro outlook highlights key themes across global economies and commodities, what we'll be watching closely in the new year, and portfolio takeaways for investors to consider.
This outlook analyses the near-term tailwinds propelling returns in Asian fixed income, as well as the structural fundamentals and shifting geopolitical trends that could support the asset class over the long-term.