AllianceBernstein falls after BofA downgrades to "neutral"

Shares of investment management firm AllianceBernstein AB.N fall 3.5% to $37.63 premarket

BofA Global Research downgrades to "neutral" from "buy", cuts PO to $38 from $42, implying ~2.6% downside to stock's last close

Flags soft investment performance and active approach to management by strategic investor Equitable Holdings EQH.N

"The softer bond performance is critical as we expect significant bond reallocations over the next three years as investors move out of cash alternatives and extend durations," says brokerage

Adds that a more active approach to management from EQH could negatively impact AB’s culture and ability to attract talent

As of last close, AB stock up ~5.2% YTD compared to a 3.6% decline in the S&P 500 .SPX