Bank of America Survey Reveals 37% of Fund Managers Overweight Technology Stocks

Bank of America’s October 2026 Global Fund Manager Survey has revealed a notable shift in investment strategies among professional money managers. The survey indicates that a net 37% of fund managers are now overweight technology stocks, a rise from 30% in September and the highest level of tech exposure since August 2020.

The survey, conducted between October 2 and October 8, 2026, involved 161 participants managing a total of $453 billion in assets. The increase in tech positioning is significant, especially considering the typically cautious nature of fund managers.

In contrast, consumer discretionary stocks are experiencing a downturn, with a net 34% of managers reporting an underweight position, the most bearish sentiment since July 2008. Other sectors showing strength include pharmaceuticals at +23% and industrials at +22%.

Moreover, the survey highlighted rising concentration risk, with global semiconductor stocks identified as the most crowded trade by 45% of respondents. Despite the enthusiasm for technology, fund managers are divided on the potential for an AI bubble, with 45% anticipating its emergence in 2027.

Overall, the survey reflects a cautious yet optimistic outlook among fund managers, with 47% expecting above-trend growth and inflation. As institutional investors continue to favor technology, particularly in AI-related sectors, the market dynamics may shift significantly in the coming months.