Goldman Sachs predicts a broad stock market rally next year, recommending small caps, healthcare, and international stocks. Opportunities in AI trade less attractive than other sectors. Market outlook strong, with potential for gains in risk assets. Small caps, healthcare, and international equities highlighted as investing opportunities.

Small-cap companies positioned for AI boom, offering niche market advantages. Valuations attractive relative to large caps, driving innovation. Russell 2000 index up 11.3% year-to-date, signaling opportunities for investors. Healthcare sector benefiting from AI hype, with iShares US Healthcare ETF up 14.5% year-to-date. International stocks outperforming US equity market, with Vanguard Total International Stock Index Fund ETF up 26.8% year-to-date.

Goldman Sachs sees international stocks outpacing US market over next 10 years. AI trade less appealing than small caps, healthcare, and international equities. Market rally broadening to various sectors, offering opportunities for investors. Healthcare sector showing signs of growth, with potential for investment gains. International stocks favored for long-term outperformance.

Read more at Yahoo Finance: Where to invest to capture the broadening stock market rally in 2026, according to Goldman Sachs