A survey conducted by IPSOS on behalf of the Bank of America (BoA) has found that fund managers are bullish on South Africa’s prospects and expect the rand to strengthen further.
The survey found that 90% of those surveyed were overweight on local stocks, with two-thirds saying they believed that South African shares were undervalued.
The fund manager survey also found that – on average – fund managers expected South African equities to have a return of 17%.
The rand was expected to strengthen to R17.12 to the US dollar. On Wednesday morning it was trading at R17.25 for a dollar.