So Goldman Sachs just released their hot takes on where to park your money in 2026, and plot twist – it’s not all about throwing more cash at the Magnificent 7 tech giants. I know, shocking, right?
Greg Calnon, who’s basically Goldman’s crystal ball reader for public investing, went on CNBC this week and basically said “Hey, maybe there’s life beyond NVIDIA and Apple.” The guy thinks the market rally is about to get a lot more democratic, and honestly, it’s about time.
Here’s the thing: while everyone’s been obsessing over whether ChatGPT will take over the world, some pretty solid opportunities have been quietly brewing in the corners of the market. And with the Fed likely to keep cutting rates (because apparently that’s their favorite hobby now), risk assets are looking pretty tasty for 2026.
So where should you be looking? Goldman’s got three main plays:
1. Small Caps: The Scrappy Underdogs
Remember small-cap stocks? Those little companies that everyone forgot about while chasing the AI hype train? Well, turns out they’re actually at the “front lines” of the AI boom – they’re just not getting the Instagram-level attention.
Here’s the genius part: while the big tech companies are spending billions trying to out-AI each other, small companies are finding their own little niches and actually making money. It’s like being the local coffee shop that thrives while Starbucks fights with Dunkin’.
Plus, small caps are trading at way better valuations than their big brothers. The Russell 2000 is up 11.3% this year, which is solid but not crazy-pants territory. Calnon thinks there’s “a lot of opportunities here” because small firms are “driving a lot of innovation.” Translation: they’re hungry and scrappy.
2. Healthcare: The AI Side Hustle That Actually Works
Healthcare stocks are having a moment, and it’s partly thanks to AI – but in a way that actually makes sense. We’re not talking about some vague “AI will revolutionize everything” nonsense. We’re talking about real applications that are already happening.
The iShares US Healthcare ETF is up 14.5% this year, and Calnon says healthcare is “the tip of the spear” when it comes to AI applications. Think about it: AI helping doctors diagnose diseases, drug discovery getting faster, medical devices getting smarter. This isn’t sci-fi – it’s happening now.
3. International Stocks: The World Beyond America
Here’s where it gets really interesting. While Americans have been patting themselves on the back about their amazing stock market, international stocks have been quietly outperforming. The Vanguard Total International Stock Index Fund ETF is up 26.8% this year. Yeah, you read that right.
Goldman’s long-term outlook is even more eye-opening. They think the S&P 500 will return just 6.5% annually over the next decade, while emerging markets could hit 10.9% and Asian stocks (excluding Japan) could deliver 10.3%. Even Europe is expected to beat the US at 7.1%.
As Calnon puts it: “It doesn’t need to be at the expense of the US. But I think we’ve been so caught up in, it’s the US or nothing, that other markets can participate.” Basically, there’s a whole world out there, and some of it might actually grow faster than Silicon Valley.
The Bottom Line
Look, nobody’s saying you should dump all your tech stocks and go full contrarian. But maybe, just maybe, it’s time to stop putting all your eggs in the “AI will save us all” basket and start looking at some of the boring, profitable companies that are actually making money right now.
The market rally is broadening out, which is finance-speak for “other stuff is starting to work too.” And if Goldman Sachs is right (and let’s be honest, they’re pretty good at this whole money thing), 2026 might be the year when being diversified actually pays off.
Who would’ve thought?