A recent survey of over 300 global public company CEOs and 380 institutional investors reveals a cautiously optimistic view on the global economy’s prospects for 2025. The findings, from Teneo’s Vision 2025 CEO and Investor Outlook Survey, indicate a surge in confidence among executives, with 32% expecting significant improvements in the first half of the year.
The most attractive investment destination remains the US, according to 77% of CEOs, while a second Trump administration is expected to have a positive impact on businesses globally. The survey also notes that M&A activity is poised for a resurgence due to improved access to capital and policy changes under the Trump administration.
Global CEOs and investors are optimistic about the economic impact of the US election outcome, with 64% believing potential policy shifts will benefit their businesses in 2025. The most likely outcomes of a second Trump administration include increased M&A volume, a strong dollar, and trade disruption.
However, other factors such as changes to monetary policy, data privacy regulations, and China policies pose significant risks to the global economy. CEOs are also confident that businesses are prepared to address disruptions in areas like Russia/Ukraine and the Middle East.
The survey highlights the growing importance of AI in business strategy, with 80% of investors expecting AI projects to be profitable within the first year. However, investors also want Boards to play a more active role in setting AI strategy and overseeing governance.
Furthermore, CEOs are recalibrating their company’s ESG programs to align with investor expectations, while nearly all CEOs plan to continue efforts to recruit and retain diverse talent. The next generation of leaders is expected to require fluency in data, transformation, and digital skills, contrasting with investors’ preference for a more traditional skillset.
The survey was conducted by Teneo’s in-house data and analytics team between November 11 and December 3, 2024, and includes the views of CEOs representing $10 trillion USD of company and portfolio value.
Source: https://www.teneo.com/vision2025/executive-summary