Charles Schwab has released its retail client behaviour and sentiment report covering the first half of 2017 which reveals that Schwab retail clients overall were net buyers during the first half of 2017.
Average cash allocation across all retail clients decreased slightly to 19.8 per cent (from 21.1 per cent at the end of 2016).
Clients are seeking planning and advice with planning conversations up nine per cent year-over-year and number of Schwab retail advisory accounts up 15 per cent year-over-year.
Client outlook for the US stock market is up, with 42 per cent feeling bullish compared to 33 per cent in Q2 2016.
Fifty-six per cent of Schwab clients feel better off financially compared to a year ago – the highest reading since the end of 2014.
“Our retail clients are increasingly optimistic and have spent the first half of the year expanding their exposure to the market,” says Charles Schwab Executive Vice President and head of Investor Services Terri Kallsen. “They have their eyes on Washington and express some concern about the possibility of a market correction, but despite those factors, investor confidence is at a three-year high.”
The Q1/Q2 2017 Schwab Wealth Management Monitor report represents more than seven million retail client accounts and approximately USD1.5 trillion in assets.