Confidence among fund managers in a global recovery collapsed in June, according to Bank of America Merrill Lynch’s latest buyside poll, with investors taking their cash allocations to the highest level since 2008.

Fund managers are now holding an average of 5.3% of their portfolios in cash, according to the US bank's monthly fund manager survey. This figure is up from 4.7% last month and is the third-highest level recorded since Merrill Lynch began the survey in 2001.