Global fund managers worry but stay almost fully invested

London

NERVOUS global fund managers are worried about expensive bonds and equities but they remain almost fully invested. Their level of cash reserves is 4.6 per cent, which historically is above average and compares with super bullish levels of under 3.5 per cent, according to Bank of America Merrill Lynch.

Despite that, the fund management crowd who are concerned about a "valuation bubble" still hold more than 95 per cent of their assets in bonds and equities. This shows that cash at zero or negative returns co…