Goldman Sachs is back with another bullish prediction, focusing on the global equity market this time. The firm has shared a positive forecast this time, stating how the global equities may deliver 11% returns in the next 12 months, driven by the elements of strong earnings reports and growth prospects.
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Goldman Sachs New Report On Global Equities: Details
The new report published discusses the global equity market surge, driven exponentially high in 2026. The firm said strong earnings reports and global economic growth could support global stocks, helping markets stay ahead of the curve.
“After strong gains last year, global equities are likely to continue climbing in 2026, as Goldman Sachs Research forecasts 11% returns over the next 12 months (including dividends, in US dollars).”
Moreover, the firm believes that the theme of diversification may play a bigger role in 2026, as it may continue to reward investors to gain significant profits along the way.
“Diversification was a core theme for Goldman Sachs Research last year. Investors who diversified across regions in 2025 were rewarded for the first time in many years, and our analysts expect diversification to continue as a theme in 2026, extending across investment factors such as growth and value and across sectors. (Investment factors are asset traits like size, value, or momentum that tend to affect risk and returns.)”
AI Stock Outlooks 2026
Goldman Sachs was quick to discuss the rising AI stock narrative, adding how the market focus on AI remains “intense.” The firm expects the AI revolution to continue gaining pace, with AI companies and stocks rising steadily on the radar.
“Overall, the market’s focus on AI “remains intense,” our analysts write. That does not mean, however, that there is an AI bubble. “The tech sector’s dominance of markets has not been triggered by the emergence of AI,” Oppenheimer writes. “It began after the financial crisis and has been supported by superior profit growth.”
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