COMMUNICATIONFORPROFESSIONALINVESTORSINITALY,FRANCE,AUSTRIA,GERMANY,SPAIN,PORTUGALANDLUXEMBOURG

KEY

INVESTMENTTHEMES2026

Ourroadmapforthenewinvestmentlandscape

YourPartnerforProgress.

INTRODUCTIONCONTENT

2025hasseentheglobaleconomyholdfirm,despiteheadwinds

fromtheUS‘LiberationDay’tariffsandconcernsoverfiscalMACROOVERVIEW3

dominanceandtheabilityoftheFederalReservetomaintainits

independence.MostcentralbanksnormalisedmonetarypolicyLIQUIDSTRATEGIES

whiletheAIinvestmentboomhelpedtosupportgrowth.

FixedIncome5

Willmarketsin2026showthesameresilience?WhatistheEquity9

legacyofdisruptivetradewars?HowwillfiscalexpansionandMultiAsset12

theAIrevolutionaffectinvestmentandinnovation?WhatpartwillLiquidAlternatives13

realassetsandprivatemarketsplay?

PRIVATEMARKETS&REALASSETS

Toanswerthesequestionsandmore,GeneraliInvestments’

specialist,affiliatedassetmanagementfirmssharetheirviewsonPrivateCredit15

therisksandopportunitiesfortheyearahead.RealEstate18

Infrastructure20

GeneraliInvestmentsisaplatformofassetmanagementfirmswhicharedirectlyorindirectlyheldbyGeneraliInvestmentsHoldingS.p.A.

KEYINVESTMENTTHEMES2026

THEBIGPICTURE

THOMASHEMPELL

HeadofMacro

&MarketResearch,

GeneraliAssetManagement

TheMacroandMarketResearchteamatGeneraliAssetManagementintroducethekeythemesthey’remonitoringfor2026.

Despitetheturbulence–aroundtheUS‘LiberationDay’andprivatecreditstrainsinQ4–2025provedpositiveforfinancialassetperformance.Willtheglobaleconomycontinuetoshowresiliencein2026,inthefaceofgreaterfragmentation?Theinlationpathisalsoonourmind,especiallyintheUSwheretheimpactfromtariffsremainsuncertain.Fiscaldominance–andFedindependence–willbekeyforbondsandcurrencies.OurfinalpickistheAIandcreditcycles:onoroff?

Afragmentedtradeandworldorder

Tailriskssurrounding‘LiberationDay’havemoderatedandglobaltrademayextenditsstrikingresilience.Theone-yearUS-ChinatrucethroughNovember2026hashelpedtoeasetradeuncertaintiesfornow,alongsideotherbilateralUStradedeals.ButtheagreementsremainfragileandtheincreaseinUStariffstotheirhighestlevelsinalmost100yearshasupendedworldtrade.Inresponse,Chinaisthreateningtocurbtheexportofrareearthsandcriticalminerals,whichcoulddisruptglobalsupplychains.ThestrategicUS-ChinarivalryisfarfromsolvedandwillnotleavetheEUandothertradingnationsunscathed.Globaltradeisunlikelytofalterbutthedecadesofdeeperglobalintegrationasaboosttoglobalgrowthhaveclearlydrawntoaclose.

Inlation:Missionaccomplished(atlast)?

TheECBmaydeclare‘missionaccomplished’initstroublesomefightagainstinlationsince2022.Evenasmallundershootislikelyin2026.Wagegrowthkeepscooling,reininginstubbornservicesinlation.China’sre-routingofexportsandastrongeuroarealsodisinlationary.TheECBwillstayonholdforlonger–butanothercutcannotberuledoutifthenascenteconomicrecoveryrunsoutofsteamprematurely.TariffswillkeepUSinlationelevated

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untilthedragfromacoolinglabourmarketstartstoprevail.Highcosts-of-livingarePresidentTrump’sAchilles’heelinto2026mid-terms.Thismaycausehimtotreadmorecarefullywithpoliciesthathaveahighimpactonconsumerprices.TheFedwillcuthighratesfurtherbutlikelybylessthanmarketscurrentlydiscount.

Fiscaldominance(continuederosionofpublicfinances)

Theongoingriseinglobalpublicdebt–supportingrecordglobalbondissuancein2025–israisingconcernsaboutfiscaldominance–asituationwherethefundingofpublicdebtbecomessoprominentthatitdistortsmonetarypolicy.AnysignthatthenewFedChairmanis‘undertheinluence’oftheUSadministrationwouldrevivebearishpressuresontheUSdollar.Thiswouldalsothreatentoreversethefallinbondvolatilitythatprovedsosupportiveofglobalrisksentimentin2025.ThismaybelessofanissueforEuropejustnow,eventhoughtheGermanfiscalimpulsewillpeakin2026.Still,largepublicdeficitsinFrance,andpoliticalinstability,couldprovetrickyfortheECBatsomepoint,asitremainstheultimateguardianofEMUintegrity.

TheAImiracleandthecreditcycle:Onoroff?

USeconomicconditionsappearunusuallycontrasted.CompaniesarecautiousonstaffingbutinvestingheavilyinAI.Afluentconsumersaredrivingrobustspendingwhilelow-midincomeearnershavepulledback.Mostoftheconstructionsectorissoft,butdatacentresarebooming.Thosecontrastsincreasefattailrisks,butaUSsoftlandingremainsourcorescenario.SignsofanacceleratedAIdiffusionmayalreadysupportproductivity.StrainsinUSprivatecreditandinthesubprimesegmenthaveraisedconcerns.YetawaveofUSfinancialderegulationwillfreeupbankcapital,fanningcompetitionbetweenlendersandprolongingthecreditcycle.InEurope,theSIU(Savings&InvestmentUnion)isaslow-burningprocess,buteffortstoencouragesecuritisation,alongwithpastECBratecuts,shouldalsosupportcreditcreation.

Source:GeneraliAssetManagementS.p.A.SocietàdigestionedelrisparmioasofendofNovember2025.

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INCOME

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Source:GeneraliAssetManagementS.p.A.SocietàdigestionedelrisparmioandConning*asofendofNovember2025.

*IncludesConning,Inc.,ConningAssetManagementLimited,ConningAsiaPacificLimited,ConningInvestmentProducts,Inc.,GoodwinCapitalAdvisers,Inc.(collectively,“Conning”).

5

KEYINVESTMENTTHEMES2026

Couldanupwardmoveininterestratesbeariskfor2026?

MAUROVALLE

HeadofActiveFixedIncome,

GeneraliAssetManagement

MarketexpectationsregardingupcomingFederalReserveratecutsremainmixed,becauseofthegovernmentshutdownthatendedinmid-Novemberafter43days,andcomplicatesassessmentsofUSeconomicresilience,inlationtrends,andpotentiallabourmarketweakening.Inrecentmonths,USTreasuryyieldshavebeenmovingoverthe4%threshold,withlittleindicationoffuturedirection.Inlationmayhavepeakedinthefinalpartoftheyear,andanysignsofeconomicweaknesscouldpromptamoredovishstancefromtheFederalReserve.Risksappearasymmetric,withnegativesurpriseslikelytoexertgreaterdownwardpressureonratesthanpositivedevelopments.ItisalsoimportanttonotethattheFederalReserve’sstancemaychangein2026withtheappointmentofanewchair.

Eurozoneeconomicgrowthhasslightlyexceededexpectations,withthefourthquarteralsoexpectedtoshowpositiveresults.In2025,growthisprojectedtoclearlysurpass1%,andthismomentumcouldcontinueinto2026,supportedbyincreasedGermanfiscalspending.Aftersomesidewaysmovementsininlationduringthesecondhalfoftheyear,itisanticipatedthatinlationwilldeclinetowardtheECB’s2%targetinthenextmonths.TheECBislikely

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tomaintainitscurrentpolicystance,asmembersregardthe2%levelas‘a(chǎn)goodplace.’Thisapproachishelpingtosuppressratevolatilityintheeuroarea,particularlyattheshortendofthecurve.Bundyieldsnear2.8%seempositionedattheupperendoftheirrecentrange,whichmaypersist.Forearly2026,consideringthepositivemomentumintheeurozoneeconomyandanexpecteddecliningtrendininlation,thereisapossibilitythatratescouldmovehigher.Thecarrytradeenvironment,prevalentformuchoftheyear,couldcontinuethroughyear-end,supportingportfolioyieldmaximization,primarilythroughexposuretoBTPs,Spanishbonds,andinvestmentgradecorporatebonds.

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WemaintainourpreferenceforlongpositionsinItaliangovernmentbonds(BTPs)despitespreadsconsolidatingaround70basispoints,asItaly’sfiscaldisciplineandcontinuedpoliticalstabilityserveassupportivefactors.AcautiousapproachremainsadvisablewithFrenchOATs,evenasspreadshaverecentlyconsolidated,giventhatcurrentfiscalpolicyisnotprojectedtoreducethedeficitbelow5%andpoliticalconcernswillpersistinthenextfuture.

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USfixedincomeenters2026onsolidfooting

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CINDYBEAULIEU

ChiefInvestmentOfficer,ConningNorth

America

TheUSfixedincomemarketsproducedanotheryearofsolidreturnsacrossnearlyallsectors.Interestrateswerelessvolatileinthesecondhalfof2025comparedtoearlierintheyear.Therewasplentyofuncertaintythroughout2025includinganextremeshiftintradepolicy,anearcessationofimmigration,taxreform,andslowbutcontinuingeffortstoloosenregulationsinseveralcriticalindustries.GeopoliticsplayedapartagainwiththeUSgettinginvolvedinMiddleEastconlictsasjustoneexample.Whileadmittingitsdualmandateofjobgrowthandpricestabilitywereatoddsinthecurrentenvironment,theFederalReservemanagedtoeasepolicytwicebutprospectsforadditionalratecutsareunclear.Despiteallofthis,marketsgenerallymarchedtowardshighervaluationsastheyearprogressed.EventhelongestgovernmentshutdowninUShistorywasnotenoughtodisruptmarkets.

Aswelookforwardto2026,theUSeconomyisexpectedtoentertheyearonsolidfootinggiventhemomentumthatledtostrongeconomicgrowthduringthesecondandthirdquartersof2025.Whilesomemodestdeteriorationinthelabourmarketsislikely,weseethedynamicsofsupplyanddemandmovingintobalance.WedonotseeslowingjobgrowthassignificantenoughtocausetheconsumertopullbacknorprovidereasonfortheFedtoaggressivelylower

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rates.Inlationremainsachallengelargelybecausethedriversofelevatedpricesaremoresecularthancyclical.Thiscombinationofsupportiveeconomicgrowth,slightweakeninginlabourmarketsbutstillelevatedinlationislikelytolimitmonetarypolicymovesandcouldresultinasteeperyieldcurve.

Spreadsarerelativelytightacrossmostsectorsofthemarket,however,theall-inyieldargumentcontinuestosuggestvalueisbestfoundoutsideofTreasuries.Weremainconstructiveonmostfixedincomesectorsbutarecautiousmovingdowninqualityasspreadsofferlimitedcompensationfortheadditionalrisks.Webelievethatstructuredsectorsremainanopportunewaytocombinequalityandvaluewhilecreditsectors,supportedbysolidfundamentals,selectivelycanofferattractiveyieldsandmeetdurationneeds.

STANISLAS

DEBAILIENCOURT

DeputyCIO,HeadofFixedIncomeandAsset

Allocation,SycomoreAM

Keepcalmand‘carry’onin2026

2025hasbeendefinedbycarry,withspreadsgrindingonlymarginallytighterandratesmovingwithinarelativelynarrowband.Weexpect2026todeliverasimilarbackdrop,despitethepossibilityofrisingvolatility,creatingafavourablesettingforresponsiblecorporatecreditinvestors.

Weenter2026withamacroenvironmentthatisbroadlyconstructive,despiteslowinggrowth.Inlationhasdriftedlower,notablymoresoinEurope,butremainsstructurallyhigherthan2010–2020duetodeglobalisationandsupply-siderigidities.TheECBhasalreadyexecutedasignificanteasingcycleduringlast18months,butwebelieveoneadditionalcutremainspossible.Incontrast,themarketispricingsubstantialFedcuts;weexpecttheFedtodelivermostofthese,butperhapsnotall,inordertofindtherightbalancebetweengrowthunemploymentandremaininginlation.

Heavygovernmentbondissuanceshouldkeeptheyieldcurvesteepinto2026.Atthesametime,sovereigncreditqualitycontinuestoerode,positioningcorporatebondsasanincreasinglyattractivecounterpartforinvestorsseekingquality-adjustedreturns.

Corporatebalancesheetsremainrobust,profitabilityresilient,anddemandforEuropeancorporatebonds–investmentgrade,highyield,andcrossover–remainsstronginaloweryieldenvironment.Spreadsaretight,relectingthisquality,andmaybecomemorevolatileasbroadermarketsenteramoreunsettledperiodnextyear.Yetthesteepyieldcurveprovidesuswithpositiveroll-down,reinforcingourconvictionthat2026maybeanother‘yearofcarry’.

Responsiblecreditmarketsalsosawsignificantprogressin2025andstronginlows,relectingrisinginterestinESG-integratedsolutionswithoutoverlyprescriptiveexclusions.Wecontinuetoseeopportunitiesacrossinvestmentgradeandhigh-qualityBBs,supportedbycarry,roll-downandsolidissuerfundamentals.Overall,webelieve2026canofferanattractiveenvironmentforresponsiblecorporatecreditinvestors:calm,carry-rich,andsupportedbyresilientfundamentals.

Emergingmarketdebtshinesamiddevelopedmarketuncertainties

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EMdebt(EMD)hasbeenamongthebest-performingassetclassesyear-to-date,beatingdevelopedmarket(DM)peerssuchasUShighyield.Apowerfulmixofdecliningtradepolicyuncertainty,fiscalexpansion(particularlyinChinaandGermany),loosemonetarypolicy,aswelltheAIinvestmentboom,webelieve,createafertilegroundforEMDreturnsasweheadinto2026.

Tobesure,uncertaintyremainselevatedastheworldisundergoingseveralstructuralshifts:Inlation,geopoliticalrisksandfiscalleveragehaveexperiencedlevelshiftshigherinthedevelopedmarketsphereandaresettochangetheglobalmacrolandscapeprofoundly.However,astheseregimeshiftsaredrivenoutofDM,theEMuniversedoesnotstandfirstinlinewhenitcomestothenegativeramifications.Somewhatcounterintuitivetomany,theupshotisthattherisk-rewardinEMdebtrelativetoDMdebthasimproved,becauseofhigheruncertainty–notdespiteofit.CurrenciesshouldbeamongthemainbeneficiariesofEM’soutperformancewithininlation,geopoliticsandthefiscalspace.Fromamedium-tolong-termassetallocationperspective,localcurrencyEMsovereigndebtthereforeisourfavouritewaytoexpresssuchimprovingrisk-rewardinEMDrelativetoDMbonds.

Animportantaspectoftheseregimeshiftsisthatmarketcyclesarebecomingshorter.Thelipsideoffrequentspikesingeopoliticalrisksisanincreaseinmarketdrawdownrisks.Atthesametime,highertrendinlationhasremovedDM

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WITOLDBAHRKE

SeniorMacro&AllocationStrategist,GlobalEvolution

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centralbanks’structuraleasingbiases,reducingtheirabilitytosmoothmacroandmarketluctuations.ShortermarketcyclesandboutsofvolatilityhighlighttheimportanceofanactiveassetallocationapproachwithinEMD.InblendedEMDstrategies,suchanapproachenablesinvestorstoharnessthereturnpotentialresultingfromdecliningcorrelationsbetweenthemainEMriskpremiums,whileatthesametimedampeningtheimpactfrommorefrequentupsanddowninthemarketcycle.

Afterastrongyear-to-daterunthattookmostinvestorsbysurprise,valuationlookslessattractivethan12monthsago.EMsovereignspreadsaretightandmarketsentimentisvulnerable,spurringvolatilityintheshort-term.Inthecomingmonths,carryshouldthereforebeinthedriver’sseatwhenitcomestooverallEMDreturns.WithinhardcurrencyEMdebt,weexpectrelativelylittlereturncontributionfrom

spreadcompression.Optimizingthetrade-offbetweencarryandcreditriskimpliesapreferenceforissuersthatarecandidatestobecome‘risingstars’i.e.higher-ratedcountrieswithinthehighyieldsegmentenrouteforanupgradetoinvestmentgrade,suchasParaguay,SerbiaandMorocco.Also,quasi-sovereignbondscanofferattractivecarry,whilelimitingcreditriskintheportfolio.

Source:SycomoreAssetManagementandGlobalEvolutionAssetManagementA/SasofendofNovember2025.

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KEYINVESTMENTTHEMES2026

ConstructivemarketbackdropandimprovingcreditfundamentalsexpectedtobenefitUSbroadlysyndicatedloansandCLOs

MICHAELNECHAMKIN

ChiefInvestmentOfficer&SeniorPortfolioManager,OctagonCreditInvestors

USbroadlysyndicatedloansandCLOsdeliveredhealthyreturnsin2025amidresilientUSeconomicgrowth,improvingcreditfundamentals,stronginvestordemand,andactivecapitalmarkets.Whileloanpricessoftenedovertheyear,elevatedcoupons(supportedbystickier-than-expectedinterestrates)underpinnedoverallloanperformance.

Thecombinationofsupportivefundamentals,stronginvestordemand,andlimitedM&Aactivityfuelledasignificantwaveofloanrefinancingsandrepricingsin2025.Asaresult,loanspreadscompressedtonear-post-GFCtights1,thoughall-inloanyieldsremainedattractiverelativetohighyieldbonds2.Webelievethemarketbackdropremainsconstructive,supportedbycompellingcurrentyieldsandbroadlyfavourablecreditconditions.

Loandefaults(includingdistressedexchangesandotherliability-managementexercises)havedeclinedfromlastyear’speaklevels3.Weexpectdefaultstocontinuetotrendlowerin2026,thoughlocalizedpocketsofeconomicsoftnessmaykeepidiosyncraticcreditriskelevated,therebyunderscoringtheimportanceofrigorousfundamentalanalysisandactiveportfoliomanagement.

Lookingahead,weexpectpositiveearningstrends,additionalFedratecuts,andongoingrefinancingactivitytofurtherbolsterloanborrowers’interestcoverageratiosandsupportcontinuedimprovementinoverallcreditfundamentals.LowerratesshouldalsocreateamorefavourablebackdropforM&A-relatedloanissuancein2026,whichwouldhelpsupportspreadlevels.Atthesametime,anincreaseinnew

issueloansupplyandothertechnicalfactorsmayweighonprices,thoughweexpectinvestordemandforloanstoremainhealthygivenattractiveyields.Wecontinuetoperceivevalueinbroadlysyndicatedloans,wherewebelieverelativelyhighcouponsarelikelytooffsetpotentialpricevolatility.

Overall,webelievetheUSloanmarketiswellpositionedheadinginto2026.Attractiveyields,improvingcorporatefundamentals,andsupportiveeconomicoutlookcreateabalancedbutconstructivesetupforreturns.

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1Basedontheyield-to-maturityfortheMorningstarLSTAUSLeveragedLoanIndex(the“LLI”)(furtherdescribedbelow)asofOctober31,2025(8.10%)versusyield-to-maturityforS&PU.S.HighYieldCorporateBondIndex(7.13%asofOctober31,2025).Source:PitchbookLCD(November10,2025).InconjunctionwithPitchBook/LCD,aMorningstarCompany,theLeveragedSyndications&TradingAssociation(“LSTA”)developedtheMorningstarLSTALeveragedLoanIndex(the“LLI”),adailytotalreturnindexthatusesLSTA/RefinitivMark-to-MarketPricingtocalculatemarketvaluechange.Onareal-timebasis,theLLItracksthecurrentoutstandingbalanceandspreadoverLIBORandSOFRforfullyfundedtermloans.ThefacilitiesincludedintheLLIrepresentabroadcrosssectionofleveragedloanssyndicatedintheUnitedStates,includingdollar-denominatedloanstooverseasissuers.ItisnotpossibletoinvestdirectlyintheLLI.2Sources:PitchbookLCD/MorningstarLSTALeveragedLoanIndex(November10,2025).BasedonnominalspreadfortheMorningstarLSTAUSLeveragedLoanIndex(the“LLI”)asofOctober31,2025.3Source:PitchbookLCD(October31,2025).Basedonthedual-trackdefaultratefortheLLI,whichrepresentsthelagging12-month(“LTM”)ratebyissuercountfortherespectiveperiod.Dual-trackdefaultratesfortheLLIdoesnotrepresenttheexperienceofanyparticularinvestmentmanagerormanagerpeerset.RaterepresentallissuersincludingthosewithloansnotincludedintheRefinitiv/LPCmark-to-marketservice.Dual-trackrateiscalculatedasthecountofissuersmeetingthelegacydefaultordual-trackdefaultcriteriaoverthelast12monthsdividedbythetotalissuersnotindefault12monthsago.Legacydefaultratescapturebankruptcies,downgradestoDbyS&P,andmissedinterestpaymentswithoutforbearance;dual-trackdefaultratescaptureeachoftheaforementionedcriteriaaswellasliabilitymanagementtransactionsconsideredadistressedexchangeordefaultbyS&PGlobalRatings.Pastdefaultsarenotanindicationoffuturedefaultrates.

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KEYINVESTMENTTHEMES2026

《CNNiNG?

Will2026seetheMag7andthe‘S&P493,diverge?

Conningexpectsatypicalmarketreturnofbetween7-9%ifthesestocksweretodropby20%,theS&P500wouldin2026butthepathtothisreturnislikelytobevolatile.dropby8%.Anydowndraftinthe‘Mag7’islikelytoput

Headwindsandtailwindsareblowingonthemarketandonlydownwardpressureonthebroadermarket(the‘S&P493’),

evenifalltheothercompaniesinthemarketremainedsteady.

Willthishappen?Considerthattheprice-to-earningsratiooftheMag7isjustover30timescomparedtotheS&P493PERatioof20.2.ItwouldnottakemuchimaginationtoenvisionsignificantmultiplecompressionintheMag7iftheirearningsgrowthstartstoslow.

CouldtheMag7seemultiplecompressionwhiletheS&P493seesmultipleexpansion,resultinginoffsettingeffects?Thatisveryhardtopredict,butwehaveexpectedthemarkettobroadenforsometimenowandthismayfinallybethattime.Ifthathappens,itcouldresultinsmoothsailingfortheS&P493,butroughwatersfortheMag71.

timewilltellwhetherthemarketwillspeedaheadorifitwillbeblownoffcourse.

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DONALDTOWNSWICK

CFA,DirectorofEquityStrategies,Conning

Strongearningsin2025havehelpeddrivethemarketforward.EarningsgrowthforthebroadUSmarket(asrepresentedbytheS&P500Index)isexpectedtoendtheyearhavinggrownabout+10%year-over-year.Expectationsfor2026-27growthareevenstronger,at+14.2%and+14.6%respectively.Earningsgrowthisalwaysawelcometailwindinthemarket.

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Otherpotentialpositivesforthemarketincludetheextensionofthetaxcutsfromthe2017andotherincentivescontainedintheso-called‘OneBigBeautifulBill’signedbyPresidentTrumponJuly42025.OngoingtradenegotiationsaimedatloweringbarrierstoUSproductsandservicesoverseashavethepotentialtofeedearningsgrowthaswell.

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TheprincipalpotentialnegativeforthemarketlieswithintheAItrade,asrepresentedbythelargetechstocksintheMagnificent7.Thesecompanieshavegrowntorepresentalmost40%oftheS&P500Index.Allelsebeingequal,

GENERALI

ASSETMANAGEMENT

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WillEuropeanbanksoutperformforthesixthyearinrow?

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Despitethis,webelievetheoutlookforEuropeanbanksremainsencouraging–valuationsstillhavesomeupsideleftbeforegettingdemandingandtheNetInterestIncomeshouldbeclosetoatroughunlesstheECBadoptsaveryloosemonetarypolicy.

Forthetimebeingwecontinuetokeepourlongstandingpositivestanceonthesector,strengthenedbytheconvictionthatinthecomingweeksandmonthsseveralbankswillpresenttheirnewbusinessplansand/orwillupdatetheirmultiannualtargets,whichcouldfurtherraisetheirexpectedprofitability;inanycase,itistooearlytosayifthesectorwillbeabletooutperformagainnextyear.Inordertomeetconsensusexpectationsin2026,loanvolumeshavetogrowth,costshavetomoveupjustslightlyandaboveall,thecostofrisk–thelevelofprovisionsthebankshavetopostontheirP&Laccountstocoverproblematicloans–hastostayathistoricallowlevels,orclosetoit,soagain,thispaintsaprettyrosyscenario.

LUCAFINá

HeadofActiveEquity,

GeneraliAssetManagement

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2025hasbeendefinitivelytheyearofEuropeanbanks,withatotalreturnofmorethan50%yeartodate,outperformingthewidergeographicalindexby40%2.Evenmorenoteworthy,theyhaveoutperformedforthefifthyearinarowaftermorethanadecade‘lost’toveryaccommodativemonetarypolicyandsignificativeregulatoryheadwinds.Duringthisperiod,thesectorhasmovedfromareturnonequityofapproximately4%to15%andfroma‘dividendban’in2020,toanalmostdouble-digitcashreturntoshareholders,includingbuybacks.Q3wasanotherstrongquarterforthesector,markedbysolidrevenues,bettercosts,andastillfavourablelevelofprovisionsthatleadtoanadditionalmid-singledigitconsensusupgrade.Butwhileallthesefac