AI
| Followers | 137 |
| Posts | 84033 |
| Boards Moderated | 3 |
| Alias Born | 03/25/2003 |
Wednesday, December 01, 2010 10:58:32 PM
AAII: SMALL INVESTORS POURING INTO STOCKS
1 December 2010 by TPC 10 Comments
Small investors aren’t just feeling bullish – they’re acting bullish. According to the AAII‘s November allocation poll small investor equity allocation reached an 11 month high. Charles Rotblut at AAII elaborated on the details:
“Individual investors’ allocations toward stocks and stock funds reached an 11-month high of 62.3% last month, according to the November AAII Asset Allocation Survey. The 2.1 percentage point rise represented the fourth consecutive increase in the amount of portfolio dollars allocated to equities. The historical average is 60%.
Bond and bond fund allocations were essentially unchanged at 21.8%. This was the 10th time in 11 months that fixed income allocations have exceeded 20%. The historical average is 15%.
Cash allocations fell 1.8 percentage points to 15.9%. This is the lowest amount of portfolio dollars held in cash since March 2000, when stock allocations reached 77%. The historical average is 25%.”
Naturally, small investors are chasing the rally. They were very bearish at the bottom and now remain only mildly bullish after the rally. At 62.3% the equity allocation is just above its historical average of 60%. At 21.8% bond allocations are substantially above the average of 15%.
Source: AAII
http://pragcap.com/aaii-small-investors-pouring-stocks
1 December 2010 by TPC 10 Comments
Small investors aren’t just feeling bullish – they’re acting bullish. According to the AAII‘s November allocation poll small investor equity allocation reached an 11 month high. Charles Rotblut at AAII elaborated on the details:
“Individual investors’ allocations toward stocks and stock funds reached an 11-month high of 62.3% last month, according to the November AAII Asset Allocation Survey. The 2.1 percentage point rise represented the fourth consecutive increase in the amount of portfolio dollars allocated to equities. The historical average is 60%.
Bond and bond fund allocations were essentially unchanged at 21.8%. This was the 10th time in 11 months that fixed income allocations have exceeded 20%. The historical average is 15%.
Cash allocations fell 1.8 percentage points to 15.9%. This is the lowest amount of portfolio dollars held in cash since March 2000, when stock allocations reached 77%. The historical average is 25%.”
Naturally, small investors are chasing the rally. They were very bearish at the bottom and now remain only mildly bullish after the rally. At 62.3% the equity allocation is just above its historical average of 60%. At 21.8% bond allocations are substantially above the average of 15%.
Source: AAII
http://pragcap.com/aaii-small-investors-pouring-stocks
Join the InvestorsHub Community
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
