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Financial Markets · Pictet Asset Management2026-11-04 16:09

Asset allocation decisions - November Barometer 2026

62/ 100Switzerland
Financial MarketsAsset AllocationEquitiesSwiss Franc

Summary

Pictet's Strategy Unit has turned more cautious for November, cutting equities from overweight to neutral as tighter financial conditions and geopolitical uncertainty worsen the risk-return trade-off. Within equities it tilts defensive, upgrading healthcare to overweight while reducing financials, and upgrades the Swiss franc to overweight as a hedge against further political upheaval. The implication is a defensive, hedge-aware allocation rather than an outright risk-off call.

Highlights

  • Tighter monetary conditions have led us to reduce our exposure to equities from overweight to neutral.
  • We favour a more defensive tilt within our equity allocation, upgrading healthcare stocks to overweight while reducing exposure to financials.

Contrarian Viewpoints

  • Market consensus may still treat tighter financial conditions as temporary and keep equities overweight; Pictet's neutral call cuts against that.
  • A Swiss franc hedge may drag on performance if political risk eases.

Investment Implications