Deglobalization and the Future of Portfolio Construction

As part of AB’s Disruptor Series, we’ll explore changes in this and other secular trends that have supported returns for decades—and its implications for portfolio construction.

The COVID-19 pandemic and war in Ukraine have shown global supply chains to be fragile—with firms scrambling to address gaps. And because the gains from soaring markets have fallen more to capital than labor, unsettling income inequality has stoked a reaction against globalization. Collectively, these developments have led some to ask if globalization has peaked—and might give way to deglobalization, with big implications for economic growth, inflation and markets.