SOURCE: Spectrem Group

Spectrem Group

October 03, 2016 08:00 ET

Spectrem Group's Millionaire Investor Confidence Index Falls to Four-Month Low in September as Investors Cite Political Climate as Most Serious Threat to Financial Goals

CHICAGO, IL--(Marketwired - October 03, 2016) - Spectrem Group's Affluent Investor Confidence indices registered a decline in September, as affluent investors cited growing concerns about the current U.S. political climate. According to Spectrem Group's High Net Worth Insights newsletter, the Spectrem Millionaire Investor Confidence Index (SMICI®) dropped seven points to 5, while the Spectrem Affluent Investor Confidence Index (SAICI®) fell three points to 4. It is the lowest total for the SMICI in the month of September since 2012, when the index stood at 1 in the run-up to that year's Presidential election.

Since 2004, the monthly Spectrem Affluent Investor Confidence indices have tracked changes in investment sentiment among the 16.3MM households in America with more than $500,000 of investable assets (SAICI), and those with $1MM or more (SMICI). This month's survey was fielded between Sept. 16-21.

The one point separating the SMICI and the SAICI is the smallest gap since January. While Millionaires generally have a more optimistic investment mindset than non-Millionaires, the narrowing of the gap indicates a growing level of wariness among more affluent investors.

According to George H. Walper, Jr., Spectrem's President, in addition to the political climate, other factors contributing to a more negative investor mindset in September included a recent lackluster U.S. jobs report, the potential for a U.S. interest rate hike before year end, concerns over recent police shootings in Tulsa and Charlotte, and the pipe bombings in New Jersey and New York.

The Spectrem report also showed more Affluent investors indicating they intend to hold on the investment sidelines in the coming month, and a decline in the Spectrem Affluent Household Outlook, a monthly measure of long-term confidence in four financial factors that impact Affluent household's daily lives.

Charts, including a deeper analysis of the Index and its methodology are available upon request. Additional insights include:

  May 2016 June 2016 July 2016 August 2016 September 2016
Spectrem Affluent Investor Confidence Index® 0 4 4 7 4
Spectrem Millionaire Investor Confidence Index® 5 9 8 12 5
           

Index range: -31 to -51, Bearish; -11 to -30, Mildly Bearish; 10 to -10, Neutral; 11 to 30, Mildly Bullish; 31 to 51, Bullish.

About Spectrem Group: Spectrem Group (www.spectrem.com) strategically analyzes its ongoing primary research with investors to assist financial providers and advisors in understanding the Voice of the Investor.

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