BofAML's Fund Manager Survey Sees Trade as Biggest Tail Risk

The video discusses the current market concerns about trade wars and their impact on investments. It highlights the Bank of America's view that risk assets are a buy if trade concerns don't materialize. The discussion covers the decline in growth and profit expectations, the shift in investment strategies, and the debate between growth and value investments. The video also examines the impact of the yield curve on financials and the potential for market rally if trade fears diminish.

What was a significant market event in July 2012 that is compared to the current trade war risks?

• The Greek financial crisis

• The Brexit vote

• The US presidential election

• The euro crisis

What is the current market sentiment regarding growth and profit expectations?

• They have dropped significantly

• They are expected to rise

• They have remained stable

• They are at their highest since 2016

What is the current positioning in emerging markets according to the survey?

• Overbought

• Overweight

• Underweight

• Neutral

What is a potential trigger for a rotation back into value stocks?

• A decrease in bond yields

• A steepening of the yield curve

• A flattening of the yield curve

• An increase in tech stock prices

What is a risk associated with having an overweight position in FANG stocks?

• They are undervalued

• They are not affected by market trends

• They are a crowded trade

• They have low volatility