Managers pick 'commodities collapse' as top tail risk

A quarter of respondents to the Bank of America Merrill Lynch's monthly poll on manager sentiment said a commodity collapse is the number one tail risk, an increase from 18% in April. The panel of 231 managers, with a combined £432bn of assets under management worldwide, have responded to the perceived threat by reducing allocations to commodities and emerging markets and upping their weighting to bonds. Nearly a third (29%) of those surveyed said they are underweight commodities, an increase from 11% in March. "May's fund manager survey demonstrates a clear exit from China and ass...