Large number of fund managers fear markets 'overvalued'

The BofAML June survey said while risk appetites were surging and Wall Street was "past peak pessimism", large numbers of managers surveyed thought markets were overvalued and polled a 'BofA Bull & Bear Indicator' of 1.1. It also revealed just 18% of respondents expected a V-shaped recovery versus 64% who expected a U- or W-shaped bounce back, and while 37% said "it is a bull market", a 53% majority still say "it is a bear market rally". The survey of 212 panellists with $598bn assets under management found the biggest tail risk remains a potential second wave of Covid-19. Led by i...