global fund manager0916

Trading ideas and investment strategies discussed herein may give rise to significant risk and are not suitable for all investors. Investors should have experience in relevant markets and the financial resources to absorb any losses arising from applying these ideas or strategies. >> Employed by a non-US affiliate of BofAS and is not registered/qualified as a research analyst under the FINRA rules. Refer to "Other Important Disclosures" for information on certain BofA Securities entities that take responsibility for the information herein in particular jurisdictions. BofA Securities does and seeks to do business with issuers covered in its research reports. As a result, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision. Refer to important disclosures on page 24 to 26. 12876470 Global Fund Manager Survey Push and Bull BofA September Global Fund Manager Survey Bottom Line: most bullish FMS since Feb’25; cash levels low 3.9%, equity allocation @ 7-month high, big jump in global growth optimism; “recessionary trade war” risk ebbs (12% vs 80% in April) and 47% forecast ≥4 Fed rate cuts (Chart 1); bulls galore but bull hubris to sell awaits more extreme FMS readings (e.g. cash <3.7%, OW stocks >30%). On Macro & Policy: biggest jump in growth expectations since Oct’24; 67% expect soft landing, 18% no landing, 10% hard landing; investors demanding higher capex (9-month high) not stronger balance sheets (lowest since Feb'22); #1 tail risk = 2nd inflation wave and most since Aug’22 expect bond yields to rise (despite 73% saying AI deflationary). On Asset Allocation: global equities OW @ 7-month high despite record 58% say stocks overvalued; investors cut EM & EU equity longs, cover US shorts, add to longs in tech (highest since Jul'24), banks (6-month high), healthcare (biggest jump since Dec'21), add to shorts in energy; biggest cut of large over small cap longs since Dec'23; allocation to gold still low 2.4% of AUM. On Contrarian Trades: FMS says contrarian long trades…bonds, UK stocks (2nd biggest allocation drop on record), REITs (biggest UW since Aug’24), energy; contrarian shorts…Magnificent 7 stocks (FMS #1 most crowded trade), banks, healthcare. Chart 1: 47% expect the Fed to deliver 4 or more rate cuts or more in the next 12 months How do you expect the Fed to change the federal funds rate in the next 12 months? Source: BofA Global Fund Manager Survey BofA GLOBAL RESEARCH 30%29%17%10%7%4%1%051015202530354 cuts3 cuts2 cuts5 cutsMore than 5 cuts1 cutNo changeSep-2516 September 2025 Investment Strategy Global Michael Hartnett Investment Strategist BofAS +1 646 855 1508 michael.hartnett@bofa.com Elyas Galou >> Investment Strategist BofASE (France) +33 1 8770 0087 elyas.galou@bofa.com