BofA Survey Shows Just How Bearish Investors Are Despite Rallies
- Investors prefer defensive assets, such as cash, REITs: BofA
- End of U.S.-China trade war seen as most bullish factor: poll
An American flag is reflected in the window of a building in New York.
Photographer: John Taggart/BloombergThis article is for subscribers only.
Fund managers are ignoring this year’s rally in equity and credit markets and are hiding in cash amid concerns about the state of the global economy, the latest Bank of America Merrill Lynch survey shows.
Investors favor defensive assets, such as cash, real estate investment trusts and staple stocks over equities, according to a poll conducted from Oct. 4 through Oct. 10. Fund managers’ exposure to cash rose compared to September, signaling a buying opportunity for risk assets. However, it remains below the high reached in June.