Fund manager allocations to emerging markets at 22-month high
Brexit changed asset allocations dramatically away from euro zone stocks to US and emerging market stocks
Despite the sharp rebound from the Brexit lows, global fund managers are wary of deploying their cash in the markets. The July Bank of America Merrill Lynch survey of global fund managers, done between 8 and 14 July, shows that cash holdings have risen to 5.8%, the highest level since November 2001. What’s more, a record proportion of investors have hedged against a sharp fall in the equity markets in the next three months.