Institutional Investors Pivot Portfolios Toward AI, Energy Transition, and Deglobalization
Event summary
- 96% of institutional investors are actively investing in AI-related opportunities, with 75% believing AI will significantly boost economic productivity over the next decade.
- 91% of investors made portfolio changes in 2025 due to trade, tariff, and geopolitical issues, with 36% increasing exposure to Europe.
- 81% of investors plan to increase private market allocations over the next five years, with private infrastructure, private credit, and private equity as top picks.
The big picture
Nuveen's survey highlights a strategic shift among institutional investors, driven by the transformative potential of AI, the energy transition, and deglobalization. With nearly $17 trillion in assets under management represented in the survey, these trends are reshaping portfolio allocations and investment strategies globally. The focus on private markets and diversification reflects a broader industry move toward resilience in an environment of lingering volatility.
What we're watching
- AI Infrastructure Demand
- How the surge in AI investments will impact energy production and transmission buildouts required to support the technology.
- Geopolitical Shifts
- Whether the unprecedented tariff and trade actions of 2025 will have long-lasting repercussions on investment strategies.
- Private Market Growth
- The pace at which institutional capital will continue to flow into private markets, driven by diversification and enhanced income generation.
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