Bank of America’s November global fund manager survey found investors cut exposure to UK equities at the fastest pace in more than three years, with allocations posting the largest three-month decline since October 2022; BofA strategists led by Michael Hartnett said bearish asset allocation in November was expressed via reduced UK-stock weightings. The shift signals waning investor confidence in UK equities and could weigh on flows and relative performance versus other markets.
Bank of America’s November global fund manager survey found investors cut exposure to UK equities at the fastest pace in over three years, with the allocation posting the largest three-month decline since October 2022. BofA strategists led by Michael Hartnett explicitly noted that November’s bearish asset allocation was expressed via reduced UK-stock weightings. This is a concrete positioning shift rather than an isolated headline, signaling coordinated tactical de-risking by surveyed managers. The survey tone registers as moderately negative (sentiment score -0.35) and the proprietary market-impact metric (0.35) implies the repositioning could meaningfully affect flows and near-term relative performance of UK equities versus other markets. Reduced allocations typically translate into weaker fund inflows and potential underperformance in the short term, particularly if other regions remain preferred. Key uncertainties remain because the note does not specify drivers of the move, so the durability of outflows is unclear; investors should therefore monitor subsequent BofA survey reads and actual fund flow data to distinguish a transitory repositioning from a structural shift in appetite. If outflows persist, technical pressure on UK stocks is likely to continue until sentiment or fundamentals reverse.
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moderately negative
Sentiment Score
-0.35
Ticker Sentiment
