Bank of America’s (BofA) private clients have started 2025 with a historic buying streak, marking the longest start-of-year trend in the firm’s data since 2008.

Key Highlights
? Private Clients’ Record-Buying Streak? 12 consecutive weeks of net buying—the longest ever for this time of year.? $2.5 billion added to U.S. equities last week.? Strong demand for single stocks (8-week buying streak), while ETFs saw net outflows.
? Institutional & Hedge Funds Turn Bearish? Institutional clients, who bought the previous week, became the biggest sellers.? Hedge funds sold U.S. equities for the third straight week.
? Corporate Buybacks Surge? Buybacks remain well above seasonal norms.? Highest year-to-date buyback execution since 2014.

Sector Breakdown: Where Is the Money Flowing?
? Top-Sector Inflows? Technology – Strongest inflows since December.? Health Care – Record weekly inflows (highest since 2008).? Financials – Continued buying momentum.
? Biggest Outflows? Utilities – Fourth straight week of selling.? Communication Services – Weak demand.
? Health Care Outperformance? Health care stocks outperformed the S&P 500 by ~9% year-to-date.? Institutional investors and hedge funds drove the record inflows.

ETF Flows: Mixed Sentiment
? Negative ETF flows for the second straight week:? Clients sold growth, blend, mid-cap, and broad-market ETFs.? Increased exposure to value, large-cap, and small-cap ETFs.
? Sector ETF Flows? Tech & Communication Services ETFs – Biggest inflows.? Financials ETFs – Largest selling pressure, despite strong demand for single stocks.

Investor Takeaway: What’s Next?
BofA’s private clients remain bullish, driving the market higher, while institutional investors and hedge funds are pulling back. With corporate buybacks at record levels and sector rotations underway, investors should watch:
?? Tech & Health Care Strength – Strong inflows suggest continued resilience.?? Institutional Selling Trends – If they remain net sellers, volatility could rise.?? ETF Flows – Growth vs. value rotation signals shifting sentiment.
For deeper market insights, check out:

Sector P/E Ratio API – Evaluate sector valuations.
Market Most Active API – Track the most actively traded stocks.

Bottom Line: Retail demand is driving equities higher, but institutional selling could create short-term headwinds.