FYI: Fund managers are trapped between the devil and the deep blue sea.
Crowded trades are selling off, and that’s a real dilemma because both the supposedly safe and risky corners of the market look crowded. We all go down together.
Years of ultra-low interest rates have forced investors into higher-yielding corners of the market and at the same time encouraged many to reach for riskier growth stocks, including those in the biotechnology sector. The Federal Reserve passed the torch this year to the European Central Bank, which launched a bond-buying program that goosed stock markets on the Continent and inspired a rowdy advance for the dollar
Regards,
Ted
http://blogs.barrons.com/focusonfunds/2015/05/05/everything-is-selling-off-because-everything-is-crowded/tab/print/
