BofA Merrill Lynch Survey

Investors Are Exuberantly Bullish on Europe After Promise of ECB Action

Date:

Investors Are Exuberantly Bullish on Europe After Promise of ECB Action

Author: Alicia Miguel

  1. A record net 51 percent make the region their top pick in equities over a one-year horizon, up from January’s net 18 percent
  2. Fund managers have increased their allocations both to stocks (a net 57 percent overweight, up six points month-on-month) and cash (a net 22 percent overweight, a five-point rise). This is at the expense of bonds
  3. A potential geopolitical crisis is now clearly respondents’ major tail risk. One in three identifies it as their major concern
  4. Weakening Expectations in China Limit Impact on Global Growth Outlook