UBS Says Tech Stocks Remain Structurally Sound

The video discusses market trends and expectations for 2022, focusing on liquidity, growth, and market stability. It predicts a market peak in Q2, followed by a gentle correction. The discussion highlights the shift from value and cyclicals to quality and defensives in the second half of the year. The tech sector is analyzed, emphasizing its resilience due to strong free cash flow and earnings, even as interest rates fluctuate.

What is expected to keep the market stable in the second quarter?

• Strong growth

• Weak growth

• High inflation

• Low liquidity

Which region is anticipated to outperform in the second quarter?

• Asia

• North America

• South America

• Europe

What is the expected market trend after the second quarter?

• A significant market crash

• A gentle correction

• Continued market growth

• Stagnation

Which investment themes are expected to reverse in the second half of the year?

• Bonds and commodities

• Growth and tech

• Quality and defensives

• Value and cyclicals

Why is the tech sector expected to perform well even when rates rise?

• It relies on government subsidies

• It has strong free cash flow and earnings

• It is cash constrained

• It has low free cash flow