Half of respondents said they had no plans to change their portfolio in the next six months.
In a new quarterly survey, 60% of investors said they were as bullish as last quarter. morgan stanley wealth management Reported this week.
But fewer investors are optimistic about the U.S. economy. Fifty-three percent agreed that the Federal Reserve could make a “soft landing,” down 7 percentage points from the first quarter.
Half of respondents said they had no plans to change their portfolio in the next six months, compared with 42% in the last quarter. Furthermore, only 10% of them plan to move from their current position to cash, down from 14%.
In terms of portfolio impact, investors' top concerns this quarter are inflation and the November election. The number of people concerned about rising prices rose from 49% to 53%, and about elections from 26% to 31%.
Concern about economic recession fell from 24% to 20%, while market volatility remained flat at 22%.
“The U.S. stock market is coming off one of its strongest first quarters in 20 years, so a pullback in stocks is not too surprising.” christopher larkinMorgan Stanley's E-Trade head of trading and investments said in a statement.
“However, investors remain optimistic about the market despite economic uncertainty due to the revised pace of rate cuts this year and uncertainty surrounding the 2024 election.”
From April 1 to 17, Dynata will target 875 U.S. self-directed investors, investors who rely entirely on financial professionals to manage their investment accounts, and investors who do both. An online survey was conducted. 60% were male and 40% female. The panel categorized investable assets into three levels: less than $500,000, between $500,000 and $1 million, and more than $1 million.
Q2 Opportunities
This study examined investors' views on sector opportunities in the second quarter. Technology remained the top choice this quarter, cited by 52% of respondents, as interest in chipmakers and artificial intelligence continues.
The first three months of this year showed signs of a recovery starting in 2023, but 43% of investors saw an opportunity in energy as oil prices rose to multi-month highs.
The traditionally defensive health care sector held the No. 3 spot, cited by 36% of investors, likely using it as a hedge, Morgan Stanley said.
Other industries where investors see opportunities this quarter:
- Real estate: 30%
- Finance: 27%
- Public works: 24%
- Communication service: 20%
- Industrial: 20%
- Daily necessities: 20%
- Material: 16%
- Consumer voluntary: 12%
