AsianFin — Global fund managers have slashed their exposure to the U.S. dollar to the lowest level since 2006, according to Bank of America’s latest Fund Manager Survey released in May.

The sharp reduction marks a significant shift in sentiment toward the greenback, reflecting growing investor concerns over U.S. fiscal conditions, monetary policy trajectory, and relative attractiveness compared to other major currencies. The survey, which captures the positioning and outlook of institutional investors worldwide, highlights a notable rotation away from dollar-denominated assets.

Analysts say the move could signal increased interest in emerging market currencies, commodities, or alternative safe havens, especially as expectations grow for potential rate cuts by the Federal Reserve later this year.