November 10, 2025

Brighton Capital Management 2026 Investment Outlook – Summary Edition

Brighton Capital Management 2026 Investment Outlook – Summary Edition

Resilience, Renewal and the Return of Productive Capital

The global economy enters 2026 neither booming nor breaking, but adapting. The extraordinary mix of post-pandemic recovery, inflation volatility and rapid technological change has given way to a new phase defined by moderation, discipline and opportunity for those positioned on the right side of structural trends.

At Brighton Capital Management, we believe the cycle remains resilient, not exhausted. Growth is slowing but not stalling. Monetary policy is beginning to ease, inflation is trending lower and the most important investment theme of a generation, the rise of artificial intelligence and productivity-led capital investment, continues to drive markets forward.

A Maturing Cycle, Not an Ending One

The world’s largest economies are now moving from restraint to renewal. The US Federal Reserve cut rates in October, signalling the start of a cautious easing cycle, while the Bank of England is expected to follow in early 2026. Inflation is cooling faster than anticipated, but not yet conquered.

Corporate investment remains robust. AI-related spending on data infrastructure, power generation and automation is offsetting weaker consumer demand, sustaining employment and earnings growth. History reminds us that late-cycle periods often deliver the strongest returns provided investors stay disciplined and selective.

Inflation, Policy and the New Equilibrium

We are entering what we call the new policy equilibrium: an environment of modest but persistent inflation, higher real rates than in the QE decade and greater emphasis on fiscal spending. Central banks are retreating from emergency settings, yet debt levels and structural supply constraints will keep policymakers active.

Gold’s continued strength and the renewed appetite for industrial and transition metals confirm a world defined by scarcity and tangible value. For investors, that means the importance of diversification, flexibility and exposure to real assets has never been greater.

Investment Themes and Positioning

Our positioning reflects confidence in resilience but awareness of transition.

Equities – Overweight: Global equities remain the anchor of real growth. We favour quality companies in the US, Japan, Emerging Markets and the UK, where valuations are compelling. AI, automation and the energy transition continue to create powerful tailwinds for earnings.
Fixed Income – Underweight, Short Duration: Bond yields have stabilised, but inflation uncertainty limits upside. We prefer shorter-dated and inflation-linked exposure until policy easing is complete.
Real Assets – Overweight: Tangible assets such as gold, industrial metals and energy infrastructure remain essential for inflation protection and long-term returns. Years of under-investment and the drive for energy security support the structural case.
Alternatives – Selective: Opportunities exist, particularly in listed strategies that capture private-market themes without sacrificing liquidity.
Cash – Neutral to Underweight: With policy rates now peaking, cash yields will begin to fade. Liquidity remains valuable for tactical flexibility but is no longer a long-term destination.

Each BCM mandate, from Conservative to Equity, reflects this same philosophy, calibrated to its risk profile and benchmark. Across all models, the focus is on productive assets that can preserve and compound real wealth through change.

A World Adjusting to Productive Capital

The recent meeting between Presidents Trump and Xi signalled a thaw in trade tensions, easing tariff pressure and improving sentiment across global supply chains. For investors, this offers a modest but meaningful tailwind at a time when geopolitical risk had threatened to overwhelm fundamentals.

The path ahead will still be uneven. Inflation is lower but not gone. Fiscal deficits are wide. Debt burdens and liquidity shifts will continue to shape market behaviour. Yet this is also a world rediscovering discipline, innovation and the power of real investment over financial engineering.

Our Outlook for 2026

We see a world that is slower, sounder and still full of opportunity. The transition from free to productive capital, from speculation to substance, is underway.

Equities and real assets remain our preferred engines of return.
Bonds are rebuilding value as yields normalise.
Cash provides flexibility but will lose appeal as rates fall.
Patience, discipline and diversification will matter more than prediction.

At Brighton Capital Management, we are invested, vigilant and confident that the later chapters of this cycle can still reward those who stay engaged.

To read the full client edition of our 2026 Investment Outlook or to discuss how these themes shape your portfolio, please contact us.