Active Global Equity Fund Flows and % MSCI ACWI Members Trading Above 200-DMA Flows to active global equity funds correlate strongly with stock price dispersion. Higher dispersion creates more opportunities for active managers, especially in…
Cumulative Passive and Active Equity Flows While active equity funds have faced significant challenges, passive equity flows have shown resilience, remaining positive despite market fluctuations. Image: BofA Global Research
S&P 500 Normalized P/E vs. Subsequent Annualized Returns Current high valuations in the U.S. stock market, particularly within the technology sector, suggest that investors may face lackluster returns over the next decade. Image: BofA US…
List of Signals to Watch for a Market Peak As of now, 50% of the 10 indicators for market peaks have been triggered, compared to an average of 70% during previous market peaks. This implies…
EPS Growth – Political Party and S&P 500 Profits Cycle While election results can impact markets in the short term, the underlying profitability of companies is a stronger driver of stock prices over time. Image:…
U.S. Tech Stocks During the first half of 2024, large U.S. tech companies have significantly outperformed their smaller counterparts, reflecting the ongoing dominance of major players in the tech industry. Image: BofA US Equity &…
Survey – Percentage of Investors Expecting Landing Scenarios In BofA’s August credit investor survey, 74% of investors anticipate a soft landing, reflecting a significant increase in optimism despite recent market volatility. Image: BofA Global Research
Emerging Markets vs. Developed Markets Emerging economies, despite their vast populations and potential for growth, have not yet achieved a corresponding level of representation in global equity markets. Image: BofA Global Investment Strategy
U.S. Federal Funds Effective Rate Less CPI To combat inflation, the Fed has raised interest rates aggressively to their highest level in years, resulting in the real federal funds rate reaching a post-GFC high. Image:…
Valuation – Relative Forward P/E of Russell 1000 Value vs. Growth Indices The current landscape for value and growth investing reveals a significant and persistent valuation gap, with value stocks trading at lower prices relative…
Performance of $10,000 Invested in the S&P 500 the Past 20 Years Considering the challenges of market timing, particularly the risk of missing the market’s best days, most investors would benefit more from adopting a…