Global investors are going crazy! Bank of America survey: Optimism soars to a new high since July 2021, with the bull-bear indicator flashing a "extremely bullish" red light.
On January 20, Bank of America released the January fund manager survey, directly signaling a "frenzy warning" to the market: current global investor optimism has reached a new high since July 2021, with the bull-bear indicator soaring to 9.4, officially entering the "extremely bullish" range.
Data shows that the cash holdings of investors have dropped to a historic low of 3.2%, and protective measures against market corrections are at their lowest level since January 2018.
This means that everyone is almost fully invested in betting on an increase, with preparations for potential risks at an all-time low.
The survey also revealed the main concerns and focal points of the current market: geopolitical conflicts have become the biggest tail risk for the first time since October 2024, followed closely by risks associated with the artificial intelligence bubble.
Despite the overwhelming optimism, institutions have already begun to suggest increasing risk hedging and allocations to safe-haven assets, dousing cold water on the overheated market.
This combination of "extremely bullish + low-risk protection" is often a precursor to market corrections.
When everyone is betting on optimism, any minor disturbance could trigger a panic sell-off.
This survey from Bank of America serves as a wake-up call for investors: beneath the revelry, risks are quietly accumulating. @阿二说趋势