Eastspring Asset Management anticipates the US Federal Reserve is preparing to lower interest rates 2-4 times this year, benefiting risk assets in certain groups, including government bonds and investment-grade corporate debt securities.
Chief operating officer Yingyong Chiaravutthi said the company predicts interest rates will decline.
Investors should monitor the global economic slowdown and changes in the monetary policy direction of large central banks such as the Fed, the European Central Bank and the Bank of Japan, said Mr Yingyong.
There are also elections in many countries this year, including Taiwan, Indonesia, India and the US.
The Fed may adjust its policy rate 2-4 times this year, which would have positive impacts on different asset groups, including government bonds and investment-grade corporate debt securities, according to the brokerage.
However, a slowing economy means the upward potential of risk asset prices may be relatively limited, he said.
Investors are recommended to accumulate funds invested in globally diversified stocks with low volatility, as well as those invested in quality global stocks and funds that emphasise technology that can benefit from the growth of generative artificial intelligence, said Mr Yingyong.
In Asia, bourses in Vietnam and India stand out based on relatively strong economic growth and diversification of supply chains that moved out of China.
"In the debt securities group, we are interested in government bonds and high-quality corporate debt securities with investment grades," he said.
"We recommend increasing investment weight and holding funds invested in these securities to serve as a core portfolio this year."
Chief executive Darabusp Pabhapote said Eastspring sees the importance of financial stability and health as Thailand transitions to an ageing society, which brings economic and societal uncertainties.
"This presents an opportunity to develop products and services that meet the needs of investors based on a thorough understanding and prioritisation of customer requirements," said Ms Darabusp.
"Eastspring emphasises expanding its reach to the younger generation, considering them a vital force for Thailand's future."