Bank of America reveals top 10 most held stocks by global funds, emphasizing dominance of tech sector.

From Investing.com: 2025-01-25 03:00:00

Bank of America reports the top 10 most widely held stocks by global funds, with TSMC leading at 95% ownership. Microsoft and Arm Holdings follow at 88%, while Samsung, HDFC Bank, and Tencent appear in 79% of portfolios. The list emphasizes the tech sector’s dominance in investments.

In 2024, long-only funds increased active equity exposure by $40 billion, with US Industrials seeing the biggest rise. However, overweight positions underperformed in most regions except the US. Funds struggled to increase exposure to large Tech stocks due to significant index weights.

BofA’s Triple Momentum analysis foresees a positive outlook for Financials and Tech in 2025, suggesting potential opportunities for increased active exposure. In the January FMS, strong investor sentiment towards the US dollar and equities was noted, with cash allocations at their lowest since June 2021.

The FMS revealed bearish views on most asset classes, with a net 41% of fund managers overweight on equities, down from December’s peak. A significant equity rotation from the US to Europe was observed, with Eurozone exposure rising sharply. Commodities, cash, and bonds were underweighted by managers.



Read more at Investing.com: These are the 10 most well-held stocks on planet earth By Investing.com