Deutsche Bank Reports Severe Equity Positioning Drop to Sizeable Underweight

Aggregate equity positioning dropped sharply to a sizeable underweight, marking the largest weekly decline since Liberation Day, according to Deutsche Bank. Discretionary investor positioning sank below the bottom of its historical band, while mega-cap growth and technology positioning fell to its deepest underweight in 3.5 years. Systematic strategies retreated to slightly above neutral, with volatility-control funds and CTAs hitting multi-month lows. Despite technical unwinding, global equity funds drew $89.2 billion in weekly inflows through November 4, led by $45.1 billion into emerging markets and $31.7 billion into U.S. equities.