Five interesting things that Hodges Capital research analysts discovered this week...

#1 U.S. EQUITY: The U.S. is near half of the total world stock market capitalization and up from near 25% at the depths of the 07/08 financial crisis per Bespoke Investment Group.

#2 MUTUAL FUNDS: Recent ISI data reveals that equity mutual funds have reached a 24-year low, numbering around 4,200, yet they still outnumber equity ETFs by approximately twofold.

#3 IVY LEAGUE ENDOWMENTS: Columbia has one of the highest allocations to public equity in the Ivy League at 23% exposure to large-cap and global equity funds according to a recent article from Pitchbook. This is unusual compared to its peers who hold as little as 11% public equity and instead opt for greater allocations to private equity investments.  

#4 CASH: U.S. equity mutual fund cash as a % of total assets is the lowest level on record at 1.5% per RBC Wealth Management.

#5 AI ADOPTION: Goldman Sachs recently indicated that AI adoption remains modest, with only 5.9% of U.S. firms currently using AI to produce goods or services (vs. 4.6% in Q2). Within industries, education and information firms reported the largest increases in adoption rates while transportation, recreation, and manufacturing firms reported a decline.

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