Asia, AI drive global investment shift amid volatility: HSBC survey

Business leaders and institutional investors are increasingly turning to Asia and artificial intelligence (AI) as they recalibrate growth strategies in an era of persistent global volatility, according to a new survey by HSBC.

The survey, conducted ahead of the bank’s Global Investment Summit, found that 93 per cent of organisations plan to increase cross-border trade or investment over the next five years, while 88 per cent have already adjusted their capital allocation strategies in response to heightened economic uncertainty.

Based on responses from 3,000 businesses and 500 institutional investors across 10 markets, the report highlights a strong appetite for international expansion, with 94 per cent of respondents seeing continued growth opportunities globally. Around 87 per cent said they are now more willing to take calculated risks compared to five years ago.

AI and technology are emerging as central drivers of investment decisions. Half of the respondents identified access to AI, critical technologies and related infrastructure as the most important factor shaping their international strategies over the next three years—on par with market growth and customer demand.

More than half (51 per cent) also cited strong AI and data infrastructure, along with competitive energy costs, as key considerations when increasing exposure to specific markets.

The survey found that 56 per cent of respondents expect AI to boost productivity and workforce efficiency, while others pointed to benefits in forecasting, innovation and cost savings. Notably, nearly one-third anticipate that AI will fundamentally reshape their core business models within three years.

Amid ongoing uncertainty, volatility is increasingly viewed as a structural feature of the global economy, a sentiment shared by 95 per cent of respondents. In response, companies are adopting longer-term investment horizons, with 53 per cent extending their timelines compared to three years ago.

The findings also point to a shift towards regionalisation of global trade. While cross-border activity is expected to grow, 91 per cent believe these flows will become more regionally concentrated. Mainland China was identified by 41 per cent of respondents as the market set to gain the most importance in global economic relationships over the next five years.

Despite Asia’s rising prominence, traditional economic hubs remain vital. Both the UK and continental Europe were cited by 38 per cent of respondents as key to future economic ties.

Michael Roberts, Chief Executive of HSBC Bank plc, said the survey reflects a “structural transformation” in the global economy, with regional trade networks expanding and technology reshaping capital deployment.

The report underscores that, despite volatility, businesses and investors remain focused on long-term growth, with 89 per cent actively increasing capital allocation to high-growth markets.