Key findings of the survey:
- A record 50% of fund managers surveyed — as many as 171 fund managers with collective assets under management (AUM) of $455 billion were polled — felt that corporates were overleveraged and should improve their balance sheets.
- 34% of the managers said that they think that a recession is likely in the next 12 months. This is the highest recession probability since October 2011.
- In terms of the health of companies, 46% of the investors surveyed wanted corporates to spend cash on improving their balance sheets.
- On the contrary, only 13% of the fund managers said that corporates should return cash to shareholders with 36% saying that companies should use cash for capital expenditure plans.
