JPMorgan: Every Investor Class Is Now All-In Stocks

Tyler Durden's picture

A funny thing happened as the so-called experts were looking for signs of retail euphoria (and repeatedly were unable to find it): everyone got all-in equities... and not just retail investors and US households, but mutual funds, hedge funds, pensions, systematic, and sovereign wealth funds.

As JPMorgan calculated when looking at the equity positioning of the main types of investors, "allocations are near historical highs, not leaving much room for further increases." How historic?

Starting with retail investors one can notice that margin debt (measured as percentage of market capitalization) is at its highest point ever, which includes the 2000 tech bubble episode. The percentage of US household wealth in equities is in its 94th percentile and above its 2007 peak, but slightly below 2000 levels. Sovereign wealth funds and US mutual funds are also near record levels. Pension Fund allocations appear to be in the 88% percentile, although there is some uncertainty around this number in adjusting for private asset and HF holdings. Global Hedge Funds’ allocation (as measured by equity beta) are also near record highs, and Equity Hedge funds’ allocation in their 93rd percentile (since 2005).


Why does this matte? Because with everyone already long stocks, there is no marginal buyer left, or as JPM puts it, "there is only so much the market can rally if equity investors are already near maximal allocations."

And with increasingly more traders and momentum-chasers shifting away from the manipulated arena of stock trading, and on to cryptocurrencies, one can understand why both commercial and central banks - in addition to Jamie Dimon of course, who is "richer than you äre" only as long as you trade those instruments in which he makes markets - hate the best performing asset class of 2017.

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Clock Crasher's picture

When cash can be printed out of thin air to infinity you are never all in. 

fucking shmucks. 

yogibear's picture

Hear that Evans, Williams, Dudley, Bullard?

You created this mess, now your responsibile for keeping it going and saving it.

You all own this problem.

Clock Crasher's picture

When ECB tappers Fed QE4 begins

All Risk No Reward's picture

Cash is not printed, it is lent.

The system is rigged to indebt you, and then it is rigged to call in those inextinguishable debts.

You have failed to learn the lesson that Henry Ford tried to teach you...

"The one aim of these [debt-money] financiers is WORLD CONTROL THROUGH INEXTINGUISHABLE DEBT.

We are in the "create debt" phase.








"Power corrupts. Absolute power corrupts absolutely."
~Lord Acton

"The issue which has swept down the centuries and which will have to be fought sooner or later is the people versus the banks."
~Lord Acton

“When a government is dependent upon bankers for money, they and not the leaders of the government control the situation, since the hand that gives is above the hand that takes. Money has no motherland; financiers are without patriotism and without decency; their sole object is gain.”
~Napoleon Bonaparte

"Let the American people go into their debt-funding schemes and banking systems, and from that hour their boasted independence will be a mere phantom."
~William Pitt, (referring to the inauguration of the first National Bank in the United States under Alexander Hamilton).

How To Be a Crook

Poverty - Debt Is Not a Choice

Renaissance 2.0 The Rise of [Debt-Money Monopolist] Financial Empire

Debunking Money

Krugman (and each MIT economist professor - THEY KNOW AND THEY OCCULT!) is a Goebbelsian propagandist as he covers the crimes of wolves with his fake sheep suit and lisp.

Krugman to Lietaer: "Never touch the money system!"

"The brave man inattentive to his duty, is worth little more to his country, than the coward who deserts her in the hour of danger."
~Andnrew Jackson

Hal n back's picture

this means we are running out of greater fools?


fauxhammer's picture

Everyone in?

Say, those exits look mighty small...

ah-ooog-ah's picture

by definition, when every investor is "all-in", there is no exit.

All Risk No Reward's picture

There is an exit, it is just that it is not, shall we say, a very palatable one.

But the real issue is that debt-money systems are balance sheet based...

The debt-money proceeds equal the debt-money obligations.

Now that the Debt-Money Sith Lords have trillions upon trillions horded in their Mega-Corporate Empire (both onshore and offshore), THAT MEANS THE HELOT PLEB CLASS HAS TRILLIONS AND TRILLIONS IN INEXTINGUISHABLE DEBTS.


"Poof...and then its GONE!"

And It's Gone...

hsun85's picture

no more money to BTFD?

hsun85's picture

what about the central banks?

Restorative_Ally's picture

Central banks will do everything in their power to prop this one up. If they fail, it is economic TEOTWAWKI. 

All Risk No Reward's picture

TEOTWAWKI is, quite simply, The Money Power Sith Lord's New World Order.

Prima-Facie fraud debt-money systems are excellent weapons... they mind control the looted into thinking they were bad...

How To Be a Crook

Poverty - Debt Is Not a Choice

Bigly's picture

The corralled sheep are all in.

Catullus's picture

Dillute. All my capital allocations would be 0/100 debt/equity

silverserfer's picture

debit. promoses of future labor. Get to work goy!

jamesmmu's picture
A New Monetary System Is Emerging! Why the Collapse Will Be Worse Than 2008!

venturen's picture

I didn't see the line with Central Bank Investor class?

buzzsaw99's picture

corporate buybacks aren't on there either.  which, btw, jpm is happy to finance.

so come on down, jamie'll chew on a dog.  wooWOOwoo!!

venturen's picture

of course that line would have to be negative or 500% or something

bobert727's picture

Gartman isn't in........yet


When he is...then you can ring the bell

ThePhantom's picture

counter bubble ... when one deflates the other inflates...  ?

fbazzrea's picture

"aaaaaaall aboard!!" *train leaving the station*

"first stop, Crater City!" 

zzzz88's picture

small investor sheeples are all in, but

most FED memembers are already out. 

what does this mean?

Eddielaidler's picture

My mother lived out her last years on a small pension, SS and 8% CDs. Those were the days.

balz's picture

AAII shows stock allocation near 68%, which is much lower than the 75-78% of the late nineties.

TacoNasty's picture

Damn Tyler, you must be getting old. You forgot the most important "market" participant of all - Foreign Central Banks!!! They can never be "all in" or "fully allocated" because they can alway just print more money to buy stocks.

There's probably another 70% of upside in the NASDAQ over the next 12 months just due to the investment plans of the Swiss National Bank.

jerry_theking_lawler's picture

Glad I'm out....good luck. I think there may be some more 'upside'...but it cannot go up forever (or can it....don't fight the Fed)....I'm going to temp fate and fight the Fed.

ds's picture

When all the preys are in and leveraged to the hilt, that's when the trap door shut. Muppets still drinking kool-aids and seduced by their financial advisors, etc. Note that the 1% are much smarter.