Some 71 per cent of high-net-worth investors believe the US economy will be the same or better 12 months from now and 87 per cent have a similar outlook for their local economy, according to a survey by Morgan Stanley Wealth Management.
Investors are even more bullish on the prospects for their own investment portfolios. Ninety per cent foresee their investments performing the same or better a year from now.
“While investors clearly are feeling the benefits of two consecutive years of strong performance in US equities, the debate continues over the length and durability of the current bull market, and the impact and timing of higher interest rates. It’s no surprise, then, that two-thirds of high-net-worth investors say they rely on a financial professional for advice and guidance,” says Gregory J Fleming, president of Morgan Stanley Wealth Management and Morgan Stanley Investment Management.
In San Francisco and Chicago, 79 per cent of high-net-worth investors see favourable prospects for the national economy, followed by 77 per cent in New York City Tri-State area, 73 per cent in Boston, 72 per cent in Los Angeles, 71 per cent in Denver, and 67 per cent in Atlanta and Houston.
Houston investors are most bullish on their local economy (96 per cent), followed by San Francisco (91 per cent), Denver and Atlanta (90 per cent), Boston (88 per cent), Los Angeles and Chicago (85 per cent), and New York City Tri-State area (78 per cent).
On the outlook for their household investment portfolios, 95 per cent of Los Angeles investors are bullish, followed by 93 per cent in Houston, Chicago and Atlanta, 92 per cent in Denver and San Francisco, 90 per cent in Boston and 89 per cent in New York City Tri-State area.
The survey includes responses from over 1,000 investors across the US with at least USD100,000 in investible assets, with oversamples of 300 in the eight targeted markets. A third of these households have assets of USD1 million or more.