Advisers' sentiments about the health of the stock market and the economy remained essentially unchanged during March.
Stock market sentiment remained elevated at 122, compared with 123 last month, while advisers rated the economy's health at 110, compared with 109 at the end of March. A response of 100 equals a neutral view.
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According to the ASI survey, less than half of advisor respondents view the current economy as positive, with 56% rating the current state as neutral or negative.
Looking ahead, advisers predict a slight decline in the health of the economy over the next six months, however they are much more optimistic for March 2025.
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At the same time, two out of three advisers, 66%, say that the current state of the stock market is “good” or “excellent”.
While some advisers see continued inflation as a potential threat, more see a future interest rate cut as fueling further stock market gains.
While 42% see no material change in the market over the next six months, 33% see an improvement.
Optimism grows when you look further. Asked about their views on the health of the market a year from now, 63% see a net improvement.
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Methodology, data collection and analysis by WealthManagement.com and Informa Engage. Data collected from March 14-25, 2024. The methodology is consistent with accepted marketing research methods, practices and procedures. Beginning in January 2024, WealthManagement.com began promoting a short monthly survey to active users. Data will be collected within the last ten days of each subsequent month, with a target of at least 100 financial advisor respondents per month. Respondents were asked about their views on the economy and the stock market as of now, six months from now and one year from now. The responses are weighted and used to create an index tied to a neutral value of 100. Over time, the ASI will provide a sense of the direction of retail financial advisors.