Fund Managers and Investors Fear That Stagflation Will Shock Markets Within a Year

Customers browse food stalls inside Grand Central Market in downtown Los Angeles on March 11, 2022. Fears of stagflation in the U.S. economy are on the rise. Stagflation happens when the economy has slow growth, unemployment has risen to record heights, and prices are rising, or the country is in an inflationary stage.Patrick T. Fallon/AFP via Getty Images

Global investors and fund managers are increasingly concerned about the potential wave of stagflation expected to hit within the year, according to a recent Bank of America survey.

BoA’s latest fund manager survey, conducted on June 14, found that 83 percent of investors surveyed expect a major downturn in economic growth and rising inflation to sweep the markets within the next 12 months.