UBS: CTAs Set to Quadruple S&P Exposure

UBS analyst says CTAs will increase S&P 500 futures exposure up to fourfold by end‑April 2026, regardless of price direction.
UBS projects CTA selling in the UK, Japan and emerging markets, while European flows remain modestly positive.
In fixed income, a 30‑bp yield drop could trigger $250‑$300 million global DV01 demand from CTAs.
CTAs have sold $60‑$70 billion of dollars recently, with further dollar selling expected and the Canadian dollar highlighted.