Rydex | SGI

January 31, 2011 19:27 ET

Advisor Confidence Index Continues to Rise in January

ROCKVILLE, MD--(Marketwire - January 31, 2011) - In January, advisor confidence in the economy and the stock market improved further. The Advisor Confidence Index (ACI) -- a benchmark that gauges advisor views on the U.S. economy and stock market -- was 122.67 in January, up approximately 5.63% from the previous month.

"2011 will be known as the recovery year as our nation's economy gradually begins to improve," said Jim Elder of ElderAdo Financial.

All four measures of the ACI increased in January, with the most optimistic forecast centering on the 6-month economic outlook (+6.62%). A closer look at the components reveals the following:

Current economic outlook +6.12%
Six-month economic outlook +6.62%
12-month economic outlook  +5.01%
Stock market outlook +4.84%

"While the economy is poised to do very well over at least the first 2 to 3 quarters of 2011, we believe financial market exposure will require increasing selectivity. The persistence of the market rally since August is amongst the strongest in history, so when the inevitable correction arrives, it will be important to identify relative strength during the correction." -- James Dailey, TEAM Financial Managers

"In the short term, we see growth fueled by strong positions by developed central governments, but this does create mid to long term concerns about the sustainability of government being able to meet long term debt and entitlements. We see unemployment improving in 2011, ahead of expectations, that could help the government to cut back on spending and to start to tighten monetary stimuli." -- Rob Siegmann, Financial Management Group

About Rydex|SGI AdvisorBenchmarking, an affiliate of Rydex|SGI:
Rydex|SGI AdvisorBenchmarking is a research and analysis center focused on the registered investment advisor (RIA) marketplace. Every year through its survey web site,, the firm conducts multiple surveys of advisors, covering a host of business management and investment management practices. The findings and analysis of the data are then released to the marketplace as annual studies, quarterly research notes, monthly newsletters and a confidence index. The service is aimed at helping advisors grow and enhance their firms by comparing how their businesses fare against other advisors. Advisors also learn best practices of the most successful advisors in the business. AdvisorBenchmarking is an affiliate of Rydex|SGI.

The analysis on Rydex|SGI is based on the number of completed surveys and reflects only information from those surveys. This information is intended to be general in nature, and these overviews are no substitute for professional, legal or consulting advice. This information should not be construed as advice from Rydex|SGI Advisorbenchmarking, Inc. or any of its affiliates.

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