SOURCE: Spectrem Group

January 26, 2011 08:00 ET

Spectrem Affluent Investor Confidence Index (SAICI(SM)) Reaches Highest Level in More Than 3 Years

Gains 5 Points in January, Narrowing Gap With Spectrem Millionaire Investor Confidence Index (SMICI(SM))

CHICAGO, IL--(Marketwire - January 26, 2011) - Spectrem Group announced today that its Spectrem Affluent Investor Confidence Index (SAICI(SM)) rose 5 points in January to -3, its highest level in more than 3 years.

This gain in the affluent index, which measures the investment confidence and outlook of households with $500,000 or more in investable assets, kept the index in neutral territory and brought it to its highest level since December 2007.

Meanwhile, the Spectrem Millionaire Investor Confidence Index (SMICI(SM)) fell 5 points in January to 2, also a neutral reading.

"Affluent investors rang in the New Year with a noteworthy gain in investment confidence, taking their January outlook to its highest level in more than 3 years. This brought their confidence more in line with the traditionally more optimistic millionaires, whose outlook waned. Nevertheless, both groups have made strong gains since late summer and seem poised for more should the economy and stock market continue to cooperate," said George H. Walper, Jr., President of Spectrem Group.

In response to an open-ended question about the one factor most affecting their investment plans, affluent investors in January cited: stock market conditions (25%); the economic environment (22%); retirement (10%); household income (9%); the political climate (2%); and household cash flow (2%). Those choosing stock market conditions rose from 21% in October 2010, the last time this question was asked, and those citing the economic environment advanced from 20%.

Millionaires were more focused on both stock market conditions (29%) and the economic environment (24%) than the affluent.

Historical Performance

  August September October November December January
Spectrem Affluent Investor Confidence Index(SM)

 -20


 -16

 
-13


-8


-8

  
-3
Spectrem Millionaire Investor Confidence Index(SM)

-18


-6


0


0


7


2

Methodology

The Spectrem Affluent Investor Confidence Index (SAICI(SM)) is based on 250 monthly interviews with the financial decision-makers in households with $500,000 or more in investable assets. The data have a margin of error of plus or minus 6.2 percentage points. The Spectrem Millionaire Investor Confidence Index (SMICI(SM)) is based on a subset of the overall survey group.

Contact Information