Some of the world’s largest fund managers, who oversee trillions of dollars in assets, are starting to pile money into Japan and emerging markets.

Schroders global investment chief Johanna Kyrklund said the £750.6 billion ($1.43 trillion) money manager was overlooking US equities for the first time in years in favour of Asia and Europe, after markets priced in too many rate cuts from the US Federal Reserve at the start of the year.