Are institutions about to rotate back into stocks? US pension funds are estimated to purchase +$13.8 billion of US equities by the quarter-end, according to Goldman Sachs. This is larger than 97% of all monthly purchases over the last 3 years and 93% since January 2000. By comparison, pension funds have sold an average of -$1.8 billion per month since 2000, while the all-time high purchase was +$80.6 billion during the 2020 pandemic. This comes as US pension funds are set to rebalance from bonds to equities to maintain target allocations after the recent decline in stocks. As a consequence, an equivalent amount of bonds will be sold to fund the purchases. Equities are set for large inflows.(The Kobeissi Letter)