Private banks are increasingly favoring equities in their investment portfolios, according to the latest edition of the Top 30 Super Allocators. The number of private banks overweighting equities has tripled from the end of last year, indicating a growing trend towards investing in this asset class.
The increase in equity overweighting can be attributed to strong company earnings and the overall health of major economies. At the end of the first quarter of this year, 15 out of 27 chief investment officers were found to be overweight equities as an asset class. This is a considerable jump from the five out of 27 who held this view at the end of the fourth quarter in 2023. Additionally, only two out of 29 chief investment officers were overweight equities a year ago.
Europe’s biggest private banks have shown a growing trend towards favoring equities in their investment portfolios, with their convictions collected to compile this information. This shift indicates a positive outlook on the market’s performance and economic stability in the near future.
