Hedge Fund Gross Leverage While the trend shows a reduction in equity exposure from hedge funds ahead of the U.S. election, the outlook post-election appears optimistic, with expectations of a market rebound as investor sentiment improves. Image: Goldman Sachs Global Investment Research
S&P 500 and Leveraged Long vs. Short ETF Volumes The degree of activity in leveraged long vs. short U.S. equity ETFs has experienced a substantial decline as sentiment shifts. Image: Topdown Charts
Equity – Leveraged Funds and Asset Managers Net Future Positions Leveraged funds and asset managers remain very net long S&P 500 futures, suggesting their confidence in the upward trajectory and potential profitability of the U.S. stock market. Image: Goldman Sachs Global Investment Research
Hedge Fund Net Leverage Aggregate hedge fund net leverage remains high compared to the average level. Image: Goldman Sachs Global Investment Research
Bloomberg Dollar Spot Index and USD Bets Leveraged Funds Will the U.S. dollar continue to climb? Image: Morgan Stanley Wealth Management
Positions in U.S. Equity Futures by Asset Managers and Leveraged Funds Asset managers and leveraged funds have decreased their long positions in U.S. equity futures since the beginning of the year. Image: J.P. Morgan
U.S. Stock Market Leverage / S&P 500 Market Capitalization U.S. stock market leverage as a percent of S&P 500 market capitalization continues to rise. Is it time for investors to be cautious? Image: Topdown Charts
S&P 500 Index Annualized Operating Leverage, Earnings Per Share Growth Less Sales Growth S&P 500 operating leverage is well above average. Is it sustainable? Image: Morgan Stanley Wealth Management
U.S. Equity ETF AUM – Leverages Long vs. Short Should investors be concerned about the lack of fear in equity markets? Image: Topdown Charts
Hedge Fund Leverage Hedge fund net leverage is close to record levels. It is also high compared to the average level of the last ten years. Image: Morgan Stanley
Operating Leverage Contribution and Earnings Rebound Morgan Stanley expects operating leverage to fuel an earnings rebound, through aggressive cost-cutting measures. Image: Morgan Stanley Research