Investors have slashed their stock allocation to the lowest level since the collapse of Lehman Brothers during the financial crisis of 2008–09, a new poll found.
According to Bank of America’s latest monthly survey of global fund managers, investors’ expectations of international growth and corporate profits cratered to levels not seen since the economic collapse more than a decade ago. The survey also discovered that investors’ exposure to cash climbed to a 21-year high.
The poll of fund managers described the situation as “full capitulation.”
A recession is now the consensus on Wall Street, with most investors agreeing that an economic downturn is likely….