ANCHOR (OFF-CAM) ENGLISH SAYING:

We have seen some rotation, yes, you mentioned out of cash. But we've also seen continued inflows into taxable bond funds, and bond managers having to find creative ways to reach for yield, govies guys going more into corporates and MBS, MBS guys going into private label and deeper into high-yield corporates. So we're not really seeing a big turnover completely out of bonds. It's really out of cash, right?

JOHN CANALLY, INVESTMENT STRATEGIST, LPL FINANCIAL (ENGLISH) SAYING:

It is mainly out of cash. And still there's plenty of cash on the sidelines. It's come way down from where it was at the worst of the crisis in 2009, but that cash is finding its way into the more higher-yielding sectors of the bond market. We still favor the high-yield bond market itself. We think we're sort of in the middle of the cycle there. You're getting a pretty decent yield advantage. Yes, high-yield yields are low but yields on Treasuries are also low. So I think you're seeing a mix there. I still think there's a large segment of the investing population that is still not ready to jump into the markets in any way and continue to hold cash. So I think it's a mix. You've sort of seen a flood of equity flows but I still think there's a lot more where that came from. The question is are people confident enough in things like the economy, the economy in Europe. Are they confident enough that the housing revival is for real, that the labor market is for real. I think all those things add up, and then of course, the wild card, things like Europe and China will be accelerating and of course, what the Fed is going to do. So I think you're starting to see the rotation mainly coming from cash and if it is going into bonds, you know, it's going into high-yield bonds, it's going into emerging market bonds even more. So I think you're seeing a mix there.