The Merlion Baller

Let’s be honest.

If you’ve survived 2021 crypto euphoria, 2022 rate hikes, 2023 layoffs, 2024 AI mania, and whatever madness 2025 decided to throw at us – you’re no longer a “new investor”.

You’re battle-hardened. Slightly traumatised. And hopefully wiser.

So when people ask, “What should I invest in for 2026?”
The real question isn’t what sector – it’s what survives when liquidity tightens, hype fades, and reality shows up.

This piece is written from a Singapore perspective:

• Small country
• Open economy
• Strong currency
• Zero patience for nonsense

No get-rich-quick fantasies.
Just asymmetric, intelligent positioning.

---

1. AI Is Real – But Most AI Stocks Are Trash

Yes, AI is real.
No, that doesn’t mean everything with “AI” in the pitch deck deserves your money.

By 2026, AI stops being a story and becomes infrastructure – like electricity or the internet. That’s good news… and bad news.

The mistake retail makes

Buying:

• Loss-making “AI platforms”
• Fancy demos with no moat
• Companies that consume AI but don’t control it

The reality

Money concentrates upstream.

Think:

• Compute
• Chips
• Power
• Data centre infrastructure
• Enterprise AI plumbing (boring, sticky, expensive to replace)

Companies like NVIDIA didn’t win because they had “AI ideas”.
They won because everyone else depends on them.

2026 AI rule:

If customers can switch providers in one afternoon, you don’t have a moat – you have a PowerPoint.

---

2. Defence & Security: The Sector Nobody Likes (But Governments Can’t Ignore)

Singaporeans are uncomfortable talking about war.

But markets don’t care about feelings – they care about budget allocations.

Between:

• US–China tensions
• Ukraine
• Middle East instability
• ASEAN defence modernisation

Defence spending is no longer “cyclical”. It’s structural.

Why defence works in 2026

• Multi-year government contracts
• Inflation-resistant
• Political backing (rare advantage)
• Increasing focus on cyber, drones, satellites, surveillance

This isn’t about bombs.
It’s about systems, software, and logistics.

From a Singapore lens:

• We understand national security
• We understand preparedness
• We understand that peace requires spending

Unsexy? Yes.
Necessary? Absolutely.

---

3. Robotics & Automation: The Quiet Winner Nobody Brags About

Every Singapore SME owner knows this pain:

• Labour costs keep rising
• Foreign worker quotas tighten
• Productivity targets never stop

Robotics isn’t about humanoids doing backflips on YouTube.

It’s about:

• Warehouses
• Ports
• Manufacturing
• Logistics
• Healthcare automation

Robots don’t MC, don’t take leave, and don’t unionise.

The real angle

By 2026:

• Ageing populations accelerate
• Labour shortages worsen
• Automation becomes survival, not optimisation

The winners aren’t flashy robotics startups – they’re:

• Component suppliers
• Industrial automation leaders
• Software that coordinates machines

This is boring wealth.
And boring wealth compounds best.

---

4. EVs Are Not the Play – The Infrastructure Is

If you’re still buying EV manufacturers in 2026, you’re late.

EVs themselves are becoming:

• Competitive
• Margin-compressed
• Politically entangled

But charging, batteries, grid upgrades, and materials?

That’s where money quietly flows.

Singapore reality check:

• We don’t manufacture EVs
• But we invest in regional infrastructure
• And we benefit from energy transition financing

EVs are the product.
Infrastructure is the toll road.

Always own the toll road.

---

5. The Most Underrated Asset in 2026: Cash (Yes, Really)

Hot take:
Cash is not trash anymore.

High interest rates trained investors to respect optionality again.

Cash gives you:

• Flexibility
• Psychological stability
• Firepower during drawdowns

Singapore advantage:

• Strong SGD
• Decent risk-free yields
• Access to global markets

You don’t need to be 100% invested at all times.
That mindset kills portfolios.

Sometimes the best move is waiting while others panic.

---

Final Thought: 2026 Rewards Adults, Not Dreamers

The era of:

• Free money
• Infinite liquidity
• Buy-anything-it-goes-up

…is gone.

2026 rewards:

• Businesses with cash flow
• Real moats
• Government backing
• Infrastructure relevance
• Operational discipline

This doesn’t mean no risk.
It means intentional risk.

As Singapore investors, we don’t need to be the loudest in the room.
We just need to be early, disciplined, and patient.

Stay sharp.
Stay rational.
And as always –

🦁 Stay ballin’.