Fund managers are saying one thing in surveys, but aren't adjusting their portfolios.
In September, the net percentage who say the global economy will improve over the next 12 months fell to 13%, down 14 percentage points from August the lowest since April 2020, and down from the 91% peak in March 2021.
Similarly, expectations of rising profits have dropped to a net 12%, a 29 percentage point nosedive, and the worst reading since May 2020. But what’s striking is that the same investors haven’t adjusted their portfolios. Cash levels edged up to 4.3% from 4.2%, which isn’t a particularly high reading. Investor positioning relative to history is still overweight cyclicals, with overweights on banks, commodities, industrials and European stocks, and underweights in bonds, Bank of America found.
In September, investors increased their exposure to global cyclicals, led by a rise in Japan, with gains for materials, commodities and energy.The S&P 500 SPX, -0.57% has gained 19% this year, while the yield on the 10-year Treasury TMUBMUSD10Y, 1.284% has climbed 41 basis points.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
California pension fund Lacera to slash its investment-grade bond portfolio by $6.3 billionLA County's pension fund is yanking $6.3 billion from investment-grade bond funds and pouring some of that money into hedge funds. Here's why.
Read more »
Exclusive: Katherine Power’s Beauty Brand MERIT Completes $20M Series A Funding Round Led By L Catterton’s Growth FundKatherine Power, the founder of Versed, wine startup Avaline, and of the Who What Wear fashion site and clothing brand, launched the clean beauty brand MERIT less than a year ago — and she is proving to have the golden touch when it comes to brand building.
Read more »
SoftBank says new Latin America fund has at least $3 billion to invest in regional start-upsSoftBank and others are racing to invest in Latin America, which is home to several fast-growing financial service companies.
Read more »
Income, Estate, Capital Gains Tax Hikes & Retirement Account Crackdown: House Finally Details How It Will Fund $3.5 Trillion Social Policy PlanThe House Ways & Means Committee has released draft legislation of individual tax hikes they propose to pay for the $3.5 trillion social policy budget plan under consideration
Read more »
COVID-era governance gets California test: The NoteAfter a viral photo of Newsom flouting his own state's COVID restrictions juiced the recall early on, he's leaned in on the pandemic as the reason to keep him in office.
Read more »
Another paper shortage? What the latest supply disruptions mean for youThe early months of the pandemic led to shortages of toilet paper, hand sanitizer, disinfectant wipes, meat and more.
Read more »