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Fund managers freeze in macro headlights

Asset managers, fearful of growing macro economic tail risks, have kept positions steady over the past month, according to Bank of America Merrill Lynch survey

Asset managers have become increasingly worried about the growing European sovereign debt market, despite increasing allocations to equities, according to the Bank of America Merrill Lynch fund manager survey.

The monthly report surveyed asset managers with a combined $631bn under management, over the period July 8 to 14. Sixty-four percent of managers believe the European sovereign debt crisis poses the largest tail risk, up from 43% in June.

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