BofA: European fund managers lower their recession expectations

Near-term EU equity downside

Valeria Martinez
clock • 2 min read

European fund managers have lowered their long-term recession expectations, but continue to see near-term downside for equities in the region due to sticky inflation and further central bank tightening.

According to this month's Bank of America's European fund manager survey, 24% of participants think the global economy will go into a recession over the next twelve months.  This is down from 51% last month and a peak of 77% in November. A net 55% expect a downturn in Europe, down from 75% last month and 95% in October. Investors still believe that the European economy would decline as a result of tightening lending conditions, according to 61% of respondents, but an increasing percentage of investors (33%) expect that growth will be resilient because of savings and order backlogs....

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Europe

Timing of ECB rate cuts in doubt as core eurozone inflation measure disappoints

Timing of ECB rate cuts in doubt as core eurozone inflation measure disappoints

Services price inflation remains sticky

Valeria Martinez
clock 01 February 2024 • 1 min read
Eurozone inflation rises to 2.9%

Eurozone inflation rises to 2.9%

Driven by energy prices

Elliot Gulliver-Needham
clock 05 January 2024 • 1 min read
European mutual funds suffer €19bn outflows in October

European mutual funds suffer €19bn outflows in October

LSEG Lipper European Fund Flows

Cristian Angeloni
clock 27 November 2023 • 2 min read
Trustpilot