Bank of America survey shows 24% of managers overweight US equities as cash levels hit lowest point since February
Institutional fund managers are dumping cash and loading up on stocks at the fastest pace in months, with potential implications for crypto capital flows
The big money is moving off the sidelines and into stocks. Bank of America’s July 2026 Global Fund Manager Survey reveals that institutional investors have pushed their US equity allocations to a net 24% overweight position, while cash holdings have dropped to levels that historically signal markets may be getting ahead of themselves.
The survey, released on July 14, polled 181 fund managers overseeing a combined $484 billion in assets.
Cash is out, equities are in
Average cash balances among surveyed managers fell to 3.6% of assets under management. That’s down from 4.1% in prior months and represents the lowest level since February 2026.
BofA has long maintained a “sell signal” threshold at 4.0% cash. When managers collectively drop below that line, it historically suggests markets are approaching frothy territory.
Alongside the cash drawdown, the net 24% overweight in US equities marks one of the most aggressive domestic stock allocations in recent survey history. Global equity allocations are surging in parallel, with the survey characterizing current sentiment as the most bullish since February 2026.
What’s driving the confidence
May and June 2026 surveys both showed equity overweights climbing to multi-year highs, meaning July’s data represents an acceleration of an existing trend rather than a sudden reversal.
One telling data point: only 4% of surveyed managers expressed concerns about a hard economic landing.
The crypto blind spot
Perhaps the most notable absence in the survey is any meaningful mention of crypto or digital assets. The complete lack of crypto allocation discussion among these 181 managers is worth examining. The omission suggests that traditional institutional capital, at least as measured by this survey cohort, remains firmly anchored to conventional equity and fixed-income markets.
What investors should watch
The BofA sell signal being triggered deserves attention. Historical precedent suggests that when cash levels fall this far below the 4.0% threshold, markets are vulnerable to pullbacks.
The 4% hard-landing concern figure is also worth monitoring month over month. If that number starts climbing in August or September surveys, it would signal cracks in the bullish consensus before they show up in price action.