CHICAGO, Feb. 1, 2016 – The market’s worst start ever to start the New Year drove steep declines in the Spectrem Affluent Investor confidence indices in January. The Spectrem Millionaire Investor Confidence Index (SMICI®) fell 14 points to -3, a 38-month low. The Spectrem Affluent Investor Confidence Index (SAICI®) dropped 8 points to -4, a 27-month low.
The indices, compiled by Spectrem Group, a market research and consulting firm specializing in the affluent and retirement markets, measure the investment confidence and outlook of the 16MM households in America with more than $500,000 of investable assets (SAICI), and those with $1MM or more (SMICI).
This is the first time since December 2012—when concern over the “fiscal cliff” was at its peak—that each index posted a negative reading.
This month’s survey was fielded between Jan. 15-21. The indices declines were a response to the worst-ever start to a calendar year on Wall Street, driven primarily by concerns over the slowdown in China’s economy, falling oil prices, escalating tensions in the Middle East and the claimed nuclear test in North Korea.
“Affluent investors tell us that Stock Market Conditions is the factor most affecting their current investment plans,” George H. Walper, Jr., president of Spectrem Group, observed. “The extreme market volatility that started the New Year has for the short-term engendered a more conservative investment mind-set.”
Charts, deeper analysis of the Index and methodology are available upon request. Additional insights include:
· Video link to come
Spectrem Affluent Investor Confidence Index®
Spectrem Millionaire Investor Confidence Index®
Index range: -31 to -51, Bearish; -11 to -30, Mildly Bearish; 10 to -10, Neutral; 11 to 30, Mildly Bullish; 31 to 51, Bullish.
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