UBS CEO: Under geopolitical tensions, investors can only invest in dollar assets

Sergio Ermotti, the CEO of UBS Group AG, stated at the World Economic Forum in Davos that despite escalating geopolitical tensions, global investors have no choice but to continue investing in the US dollar and American assets.

He emphasized that the dollar still holds a dominant position in global finance, and for most participants in the system, shorting the dollar is almost impossible. While diversified investment strategies are becoming increasingly important, in reality, only a few investors are reducing their investments in American assets, and the US will remain an investment destination for the foreseeable future.

Ermotti also discussed AI investments, believing that the entire AI industry will not experience a collapse, but warned that some investors will incur losses, especially those attempting to pick individual stocks rather than adopting a broader investment strategy