AI’s growing spectre, geopolitical conflict, and surging energy demand are deVere Group CEO Nigel Green’s three biggest trends shaping 2025. Investors who align their portfolios with these forces are set to capitalize on significant opportunities amid turbulent times.
Geopolitical tensions are escalating across multiple regions. Europe remains destabilized by ongoing conflicts, the Middle East is experiencing renewed unrest, and East Asia is navigating increased territorial disputes.
“Conflict, unfortunately, continues to be a driving force in global markets,” Green began “According to the Institute for Economics & Peace, the global conflict index is at its highest point since World War II, with over 50 active armed conflicts globally.”
“The financial ramifications of these tensions are profound. Defence budgets are ballooning, with the US expected to exceed $1 trillion in defence spending in 2025. Investments are flowing into advanced military technologies, missile systems, and cybersecurity, areas that are critical for national security.”
Green said that as AI-driven threats rise, companies providing digital defences will be major beneficiaries. Investors should be looking at how geopolitical risk can create long-term opportunities in this space.
Energy consumption is reaching record levels, driven by economic growth, the electrification of transport, and the AI boom. A key focus area is nuclear energy, which is undergoing a renaissance. Legacy nuclear plants are being refurbished and upgraded, presenting significant investment opportunities as new projects face regulatory delays.
Analysts predict strong earnings growth for companies in the nuclear sector as their output becomes increasingly valuable in a constrained energy market.
“The energy transition is at a critical juncture,” Green cautioned. “Investors need to think beyond the traditional green-versus-fossil-fuel narrative. Nuclear energy, often overlooked, is now a crucial part of the energy mix. Companies with existing nuclear infrastructure are poised for substantial growth. Additionally, offshore oil and gas exploration is experiencing a revival, signalling confidence in long-term profitability.”
This resurgence in offshore exploration has led to a spike in subsea orders and infrastructure development. These projects, aimed at boosting global output, highlight the ongoing relevance of traditional energy sources in 2025 even as renewables gain traction.
AI remains a transformative force, reshaping industries and fuelling market optimism. The past year has seen rapid adoption of AI technologies across sectors, with companies racing to enhance efficiency and unlock new revenue streams.
“Capital expenditures in AI infrastructure are surging, with major players investing heavily in data centers and cloud capabilities,” Green said. “As AI continues to integrate into business operations, its market potential remains vast. Analysts forecast significant revenue growth, even as concerns about valuation persist.
“AI is not just a tech trend—it’s the cornerstone of future economic growth. The companies building the infrastructure to support AI’s expansion will drive the next phase of market gains. This is a long-term play, and investors who position themselves now will benefit immensely. While there is always talk of bubbles, the reality is that AI’s transformative potential is only beginning to unfold.”
In a landscape shaped by conflict, energy challenges, and AI-driven innovation, strategic positioning is paramount. Green emphasizes that proactive investors who align with these megatrends will outperform those who react to short-term noise.
“2025 will be a year of complexity and opportunity,” Green concluded.