Investors Are Most Bearish Since Financial Crisis, BCG Says

(Bloomberg) -- Portfolio managers have turned the most bearish in their outlooks since the global financial crisis, amid signs that the eight-year stock rally could be nearing an end.

Almost half of managers surveyed said they were pessimistic about equity markets for the next year, according to a report from Boston Consulting Group. Investors cited stretched stock values and rising interest rates as well as U.S. political and geopolitical risks. Eighty percent predicted a recession would start in the next three years.

Investors Are Most Bearish Since Financial Crisis, BCG Says

Vanguard Group and Goldman Sachs Group Inc. have both warned that returns may suffer in 2018 after years of rising values. The S&P 500 Index has soared 19 percent this year, buoyed by low volatility and interest rates. BCG surveyed 250 investors managing a combined $500 billion in assets from late October to early November.

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