Last year, equity markets rose to record levels and market strength as well as numerous other factors boosted retail investor participation. But as risk aversion took hold, many of these popular retail stocks and other SMID cap growth stocks began to falter. Also, there was an IPO boom, including many companies with no earnings, leading some to compare the environment to the tech bubble of '99. Jill Carey Hall advises us the environment is different from that of the late '90s as IPOs are more diversified, the number of public companies is still much lower, and IPO deal value as a proportion of total US market cap is less extreme. John Egan discusses the downward pressures on growth stocks and headwinds to equities but believes much of the sell off is close to over and looks for lower volumes and volatility to help gauge the bottom. 

"Bank of America" and “BofA Securities” are the marketing names for the global banking businesses and global markets businesses (which includes BofA Global Research) of Bank of America Corporation. Lending, derivatives, and other commercial banking activities are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., Member FDIC. Securities, trading, research, strategic advisory, and other investment banking and markets activities are performed globally by affiliates of Bank of America Corporation, including, in the United States, BofA Securities, Inc. a registered broker-dealer and Member of FINRA and SIPC, and, in other jurisdictions, by locally registered entities.

©2022 Bank of America Corporation. All rights reserved.