Quants Are Poised to Unleash a Wave of Cash in Stock Market.

Systematic funds, which buy stocks based on market signals and volatility moves rather than company fundamentals, have recently sold a large amount of equities in the US. However, with the market stabilizing and economic data suggesting a soft landing for the Federal Reserve, these funds are expected to start buying stocks again. Volatility control funds, commodity trading advisers, and risk parity funds are also likely to contribute to the buying pressure. While it may take some time for the buying to show up in market averages, the longer-term inflows from these funds could be significant. [Extracted from the article]