Spectrem Millionaire Investor Confidence Index (SMICI®) = 14
February 2018-March 2018 Down 4
March 2017-March 2018 Up 4
Spectrem Affluent Investor Confidence Index (SAICI®) = 11
February 2018-March 2018 Down 1
March 2017-March 2018 Up 5
- Almost all index markers saw decreases in March after a rally of enthusiasm in February.
- The percentage of all investors "Not Investing" rose from 28 percent to 32.8 percent; among Millionaires it rose from 20.1 percent to 30.7 percent, the largest increase since May of 2017.
- Among all investors, Stock investing dropped more than 10 points to 32 percent after a significant increase in February.
- The Outlook for the Economy had its second consecutive drop, falling from 43.6 in January to 16.4 percent in March.
Investors hit the hooks in March, slowing their optimistic roll from February and expressing caution among all investing interests.
One month after expressing significant optimism about stock investing and the outlook for the economy, investors backed off in March. The Spectrem Affluent Investor Confidence Index (SAICI) dropped slightly in March, and the Spectrem Millionaire Confidence Index (SMICI) fell by 4 points to its lowest level since November.
Interest in Stock and Stock Mutual Fund investing fell among all investors, and among Millionaires, interest in extended Stock investing dropped from 50.7 percent to 34.0, the largest decrease since May of 2017. Conversations around the issue of trade tariffs, which send the market dropping by more than 1,000 points in two days of trading, may have impacted investor optimism in mid-March, when the fielding was conducted (March 16-March 21, 2018)
The monthly SAICI tracks changes in investment sentiment among the 17 million households in America with more than $500,000 of investable assets. The SMICI reflects the investment sentiment of households with more than $1 million in investable assets.
Among Millionaires, those "not investing" increased to 30.7 percent, the highest level of pulling back since September. Stock Mutual Fund investing fell by a couple of points to 42 percent, and Cash investing fell to 19.3 percent, a drop of 10 points.
For non-Millionaires, Stock Mutual Fund investing dropped almost 10 points to 30 percent after a large jump in February. However, offering one of the few positive points from the March index, "not investing" among non-Millionaires actually dropped to 36 percent, although the only areas non-Millionaires expressed increased interest was in Cash and Real Estate investing.
While the SAICI and SMICI indicate immediate investing intentions, the Spectrem Household Outlook considers future outcomes, and in March, the Spectrem Household Outlook fell slightly to 28.00, the lowest mark since August. The Household Outlook is a monthly measure of the long-term confidence among investors in four financial factors which impact a household’s daily life. Outlook measures for the Economy and Household Income fell, while slight increases for Company Health and Household Assets.
© 2018 Spectrem Group