Equity market positioning is VERY extended (which is bad from a contrarian perspective).
As shown in the chart below, Asset Managers have built the largest equity futures position in history 🚨🚨🚨 Source: Barchart, Goldman Sachs, CFTC
BREAKING: LEGENDARY HEDGE FUNDS MILLENNIUM MANAGEMENT AND TWO SIGMA HAVE MASSIVELY INCREASED THEIR JD.com $JD STAKES
THEY NOW OWN TOGETHER $275M IN THE STOCK Source: Daily Compounding
Two of the world’s biggest asset managers are quitting Climate Action 100+, an investor group set up to prod companies over global warming.
Two of the world’s biggest asset managers are quitting an investor group set up to prod companies over global warming and a third is scaling back its participation, in a major setback to the ambitions of Climate Action 100+. JPMorgan Asset Management and State Street Global Advisors both confirmed they were leaving Climate Action 100+. BlackRock, the world’s largest money manager, is pulling out as a corporate member and transferring its participation to its smaller international arm. The departures weaken the climate group’s plan to use shareholder influence to step up pressure on polluting companies to decarbonise, because they mean that none of the world’s five largest asset managers are fully behind the effort. https://lnkd.in/eWcb-iPU Source: FT
Passive funds have overtaken active.
That’s changed a lot because the number of active managers is down a lot, David Einhorn says in MIB podcast: "There’s entire segments now mostly in the smaller part of the market where there’s literally nobody paying any attention...I view the markets as fundamentally broken". Source: HolgerZ, BofA
According to Bloomberg's estimates, passively managed money just exceeded 50% of all assets.
Money management just crossed the Rubicon. Source: Bianco Research
Asset Managers are the most long U.S. Equity Futures in at least the last 15 years.
Source: barchart
What a tweet by Franklin Templeton
A $1.5T and 77-years old leading assetmanager...
According to Darwin's Origin of Species, the species that survives is the one that is able best to ADAPT and ADJUST to the changing environment in which it finds itself.
See below the twitter profile of Franklin Templeton, a 77 vyears old asset manager with $1.5T assets under management.
