Investors are all in on stocks: Bank of America survey shows record low cash level

While the market may be stalling into year-end, investors are keeping the faith, Bank of America data shows. The share of portfolios in cash fell to a record low 3.3% in December, according to the bank’s Global Fund Manager survey. That’s down from 3.7%. Michael Hartnett, chief investment strategist at Bank of America, dubbed the move “the crash in cash” in a Tuesday note to clients. This rush into equities comes as market optimism grows. Allocation to stocks and commodities reached its highest level in nearly four years, the survey found. Equity allocation rose to a net overweight rate of 42%, its highest level since December 2024. Technology stocks have recently struggled after big runs this year amid concerns over artificial intelligence infrastructure spending. The Nasdaq Composite has slipped 1.4% since December began, on track for a second straight down month. Those declines have weighed on the broader market, with the benchmark S & P 500 poised to snap a seven-month winning streak. But the survey found managers were buying the dip, with exposure to the sector rising to its highest level since July 2024.