Investment Outlook

Independent investment advisors are seeing more opportunities in equities and are signaling moves away from cash and fixed income, according to the sixth wave of the semi-annual Independent Advisor Outlook Study. The survey was conducted in July 2009.

What asset classes are advisors likely to purchase in the next six months? According to Registered Investment Advisors (RIAs) surveyed:

• U.S. small-cap equities: 31%, an all-time high
• U.S. large-cap equities: 30%
• Fixed income: 25%, down sharply from 42% in January 2009
• Cash: 8%, an all-time low

Likelihood to Invest More in U.S. Large Cap/Small Cap Equities, Cash and Fixed Income

All Respondents

International Stocks

 International stocks are on the upswing, led by large-cap emerging markets.

Likelihood to Invest More in International Equities

 All Respondents

Investment Vehicles

Among RIAs surveyed, the following expect to "invest more" in these investment vehicles over the next six months.

• ETFs: 39%, an all-time high
• Commodities: 22%
• High-yield bonds: 15%
• Real Estate Investment Trusts (REITs): 15%

Plans to Invest More in Top Investment Vehicles

 All Respondents