Pine Wealth Solutions Securities is highlighting alternative investments such as structured products as the next major investment trend, suggesting this is a strategically suitable move to help investors weather increasing volatility and stretched valuations in global markets.
The firm’s updated fourth-quarter outlook emphasises portfolio resilience through diversification beyond traditional equities.
Piyatat Pasommanatsakul, strategist and head of investment advisory, said while global equities are expected to maintain their upward momentum through late 2025, investors must prepare for turbulence ahead.
“Major stock markets, especially in the US, are trading at demanding valuations,” he said, adding that this environment calls for smarter asset allocation.
Pine Wealth’s key recommendation is to increase exposure to private assets — investment vehicles that have a low correlation to traditional markets.
These assets, he noted, can smooth portfolio volatility while maintaining consistent returns, offering investors much-needed stability amid market swings.
The firm also sees structured products as a powerful tool to balance risk and reward. These flexible instruments can be tailored to various market conditions, giving investors the ability to cap downside risks while pursuing targeted returns.
“In an era where asset prices are no longer cheap, diversification through innovative investment tools is essential,” said Mr Piyatat.
For the last three months, Pine Wealth has strategically adjusted its portfolio to balance caution with opportunity by trimming US equities and tech stocks to 25-35% from 35-45% amid stretched valuations.
Meanwhile the firm increased exposure to Asian equities to 25-30% with a focus on China, Japan and Thailand while slightly reducing allocations to India and Vietnam.
It maintains fixed income holdings at 25%, emphasising global investment-grade bonds, and doubled its gold allocation to 10% as a defensive hedge against rising geopolitical and economic uncertainty.
Pine Wealth continues to monitor macro risks, from US-China trade tensions and potential global recession triggers to pivotal Fed meetings and corporate earnings outlooks for 2026.
Despite the challenges, the firm believes the investment landscape remains favourable under a “Goldilocks Macro Backdrop”, where steady global growth and gradual interest rate cuts support both traditional and alternative assets.
“Traditional assets like stocks and bonds remain attractive,” said Mr Piyatat. “But incorporating alternative investments such as private assets and structured products is what truly builds a resilient, future-ready portfolio in an uncertain world.”