• We see some vulnerability in equity markets in the near term from balanced mutual funds, a $7tr universe, having to sell around $160bn of equities globally to revert to their target 60:40 allocation either by the end of November or by the end of December at the latest.
• A continuation of the equity market rally into December is likely to give rise to additional $150bn of equity selling into the end of December by pension fund entities that tend to rebalance on a quarterly basis.

JPMorgan