Global fund managers shun US tech over high capex spending

InvestorDaily

Global fund managers are shifting away from US technology stocks amid a belief they are overspending on AI capex, according to Bank of America. Global fund managers have once again shown they are “uber-bullish” this month, with sentiment reaching its highest level since June 2021 at 8.2, according to Bank of America (BofA). Fund manager sentiment is measured on cash levels, equity allocations and global growth expectations.   

Though it is higher than last month, the increase is far more modest than the jump from 7.3 to 8.1 seen between December and January. Cash allocations increased for the first time in seven months, climbing to 3.4 per cent from January’s record low of 3.2 per cent, and a net 36 per cent said they expect a stronger global economy.  Carried out between 6 and 12 February, the firm’s monthly Global Fund Manager Survey gathered responses from 162 participants managing US$440 billion in assets. 

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