The report also found that while the volatility of geopolitics is of concern in global markets, investors have become less concerned about risks such as inflation and recession fears.
Over half of the top institutional investors, or 56% of those surveyed, say that threats to their investments from geopolitical risks are their biggest concern. This finding comes amid trade tensions between the US, Europe and China, major elections in more than 70 countries this year, military conflicts and structural changes within the global economy. Despite that, a third of the investors polled say they plan to shift to higher-risk investments in 2025.
The findings came from PGIM’s 2024 global risk report on resilient investing amid geopolitical uncertainty, which surveyed 400 institutional investors across eight countries and representing US$9 trillion in assets under management (AUM). PGIM is Prudential Financial Inc’s global asset management business.
