BENGALURU (Reuters) - Global funds made a U-turn this month and recommended the highest equities exposure since February on recent COVID-19 vaccine progress, with a majority predicting the stock market bull run would last more than six months, Reuters polls found.
Recovering from last month’s sell-off, global stocks hit repeated record highs in November, with the MSCI’s broadest gauge of world stocks on track for its best month ever - up nearly 13%.
“We have stayed on the sidelines previously, pointing to the growing disconnect between market moves and economic fundamentals.
But it is now clear the global economic recovery will be supported by the vaccine news,” said a chief investment officer at a large U.S. fund management company.
That shows a move away from the cautious approach fund managers have maintained this year, with a 3.4 percentage points drop in suggested bond holdings from October’s decade-high - the steepest fall since late 2017.
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Royal London Asset Management, Aberdeen Standard Investments, U.S, Democratic
BENGALURU, United States, Europe, Japan, U.S