The pandemic has significantly accelerated digital adoption in Europe.
"Improved availability of VC funding and increased public market appetite for digital economy stocks in Europe have created more fertile ground for the creation and scaling up of online businesses, as demonstrated by the recent IPOs of The Hut Group and Allegro and the significant increase in the number of unicorns in Europe," Yang said.
The analysts believe there will be a stronger push from policy makers at the regional and national level to create a level playing field between the European digital landscape and Big Tech. This will likely result in investment in digital capabilities and infrastructure. "We believe investor appetite for European digital economy stocks will continue to be fueled by strong growth prospects," Yang said.Investing legend Terry Smith's $30 billion equity fund returned 449% to investors over a decade — Here's his 4-part strategy for success and 10 pieces of investing wisdom to take into 2021