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Tech funds see projected $216B yearly inflow despite summer dip
Bank of America Global Research data points to tech fund inflows set to top $216 billion for the year, far above prior annual totals.
Tech stocks are still attracting investor support in fund flows even after a summer pullback tied to concerns about capital spending at major names, including Meta, Alphabet, and Amazon, according to Yahoo Finance. Yahoo Finance cites Bank of America Global Research inflow data showing tech stocks are on track for a yearly inflow of $216 billion. The article says that level would dwarf the total annual inflows for each year dating back to 2015. The report also highlights valuation differences between major benchmarks, with the Nasdaq Composite forward price-to-earnings ratio at about 26 times versus 20.4 times for the S&P 500, based on Yahoo Finance AlphaSpace analysis. It frames the Nasdaq premium as consistent with investors’ belief that the tech sector has stronger growth characteristics.
JPMorgan strategist Dubravko Lakos-Bujas is quoted by Yahoo Finance as arguing that AI monetization is becoming more visible through backlog and cloud revenue. The note says that as elevated backlogs convert into recognized revenue, cloud growth should stay supported, helping validate rising AI capex and easing concerns about return on invested capital, and Yahoo Finance adds that Lakos-Bujas raised his S&P 500 price target to 8,000 from 7,800 in the same note.
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