Seeking Alpha – Bank of America Merrill Lynch is out with their latest hedge fund monitor report examining various exposure levels. In it we see that overall, hedge funds were reducing risk assets. Across the board, it seems that hedge funds bought 2 year, 10 year and 30 year Treasuries signaling a flight to safety.
This is intriguing considering that equity markets have not seen a massive decline since August, the last time we saw a risk-off trade. Are they exiting before a proverbial near-term top?
