BofAML survey: US equity exposure reaches three-year high as investors 'flock to safe havens'

Net 19% overweight

Investors are retaining a cautious outlook in August, holding higher than average weightings to cash and US equities, while selling exposure to commodities and UK equities, according to the latest Bank of America Merrill Lynch (BofAML) global research report.

The survey of 243 fund managers globally, carried out between 3-9 August, also found the average cash balance had risen from 4.7% in July to 5%, higher than the ten-year average of 4.5%. BofAML said respondents were "flocking to safe havens" with US equities being the most favoured equity region for the first time in five years; fund managers increased their allocations on average  ten percentage points to a net 19% overweight, the biggest overweight since January 2015. Global equity allocations fall to lowest since November 2016 as sentiment turns 'bearish'  Respondents said this...