The world's largest fixed income manager says there's no sign yet of a so-called "great rotation" from bonds into stocks, even as the prospects of a US growth boom sparked a surge in equity markets and fears of higher inflation and interest rate hikes belted bond prices.

Greg Davis, the global head of fixed income at Vanguard which manages $US1.1 trillion ($1.5 trillion) of fixed income assets around the globe, says a further $US139 billion flowed into the low-cost behemoth's fixed income funds from January through to November 2016.