Against a backdrop of geopolitical tensions, policy uncertainty, and evolving capital markets, the message I took away from this year’s immensely insightful Milken Institute Global Conference was clear: opportunities have not disappeared. What has changed is how business leaders are choosing to pursue it.

That perspective closely mirrors what we continue to hear from commercial clients across the U.S. As we move through 2026, the environment is being defined by a renewed focus on discipline, execution, and long-term resilience.

Below are key takeaways from the conversations, panel discussions, and presentations at the conference.

Despite ongoing uncertainty around interest rates, geopolitics, and policy, the tone at Milken was notably constructive. Investors are not retreating, but they are becoming more selective. The emphasis has shifted from timing markets toward strong balance sheets, liquidity, and staying focused on long-term objectives.

This aligns with a core theme in BMO’s Business Outlook Report: the “rules of the road” are becoming clearer. Many businesses spent the past year waiting—for rate clarity, regulatory certainty, or better demand visibility. That pause is giving way to selective action. Companies are deploying capital deliberately, prioritizing productivity, capital efficiency, and phased investment instead of expansion for its own sake. Those gaining confidence today are the organizations that are positioned to execute with purpose.

Artificial Intelligence dominated nearly every conversation at Milken, but the narrative has matured. AI is no longer viewed simply as a future disruptor—it is increasingly seen as a near-term driver of competitive advantage.

What stood out most was the shift from experimentation to execution. Companies that are moving quickly but thoughtfully to integrate AI into core operations are beginning to see real gains in productivity, cost management, and decision-making. This reflects what we see across the middle market. AI adoption is becoming pragmatic, focused on improving workflows, redeploying labor toward higher‑value activity, and supporting growth without overextending headcount.

Another clear takeaway from Milken was the continued prominence of private capital. Institutional capital continues to expand into private credit, infrastructure, and alternative asset strategies, supporting investment and growth opportunities where traditional channels are still more selective.

We see this dynamic in commercial banking. Private credit remains active, infrastructure investment continues to attract capital, and well‑capitalized sponsors are selectively re‑engaging as pipelines are rebuilt. As Alan Tannenbaum pointed out during a panel discussion at Milken, windows are forming across M&A, private credit, and selectively in IPOs, particularly where AI is accelerating growth opportunities and reshaping investment priorities.

This year’s Milken conference reinforced that resilience, innovation and operational flexibility are strategically important for effective businesses. Companies that are performing well are pairing innovation with disciplined execution, staying front‑footed without overcommitting, and investing where returns are durable and measurable. Businesses willing to act thoughtfully, rather than waiting for perfect certainty, will be best positioned to outperform in the next phase of the cycle.