The survey of Fund Managers for April, conducted by the Bank of America Merrill Lynch, shows that the Investors have shown their desire for a high risk, regardless of growing concerns over the world crisis such as earthquake and triggered tsunami, the Japanese nuclear disaster and the corporate profit position.
The survey performed from April 1 to April 7, which includes total of 282 panelists with $757.00 billion in assets under management.
Investors have cut their cash holdings and improved equity positions, remarkably in global rising markets. The average cash balances have declined in April to 3.70% of portfolios fell 4.10% from March statistics.
The survey revealed that net 11.00% of participants are overweight cash, down from last month’s net 18.00%. A net 50.00% of asset allocators are overweight equities, grow from a net 45.00% one month earlier.
About asset classes, 24.00% of fund managers agreed they are currently overweight commodities.
Investors are locating cash to work as exhibiting concerns regarding the outlook. The section of the panel supposed the world financial system will strengthen in the coming one year has collapsed to a net 27.00% from a net 58.00% in February, indicated by the BAC Merrill Lynch report.
The investors also weigh increasing concerns about corporate profits, as the survey showed that only a net 19.00% of participants agree that corporate earnings probably will improve in the next year, in comparison with the net 32.00% in March.
Local Japanese managers are equally divide between the respondents who think the economy will grow up and the others who think against it. However, managers at a global scale lowered their rating on the Japanese stocks.
