POWERED BY MOMENTUM MEDIA
Investor confidence up 1.7 points in November
Investor confidence increased to 80.9, up 1.7 points from October’s revised reading, according to State Street Global Markets Investor Confidence Index (ICI) for November 2019.
There was a 1.1 point rise in the European ICI to 133.9, while North America remained at 67.7, and Asia dropped by 0.1 to 85.6.
Kenneth Froot, one of the two developers of the index, said despite the rise in November it was still short of the neutral reading of 100, which added to the streak of cautionary investor behaviour since 2018.
“The stark regional difference between North America and Europe remained steady, particularly with policy uncertainty surrounding the impeachment hearings and the trade war continuing to weigh upon investor sentiment in the US,” Froot said.
Michael Metcalfe, senior managing director and head of global macro strategy for State Street Global Markets, said the last time European investor confidence was this high was before the first round of European Central Bank government bond buying in 2014.
“While there has been a similar surge in confidence in 2019, it has at least lasted through the first month of actual bond purchases,” Metcalfe said.
The index was developed to measure investor confidence or risk appetite quantitatively by analysing the buying and selling patterns of institutional investors.
The greater the percentage allocation to equities, the higher risk appetite or confidence; a score of 100 was neutral.
Recommended for you
As market volatility persists, some super funds are pivoting defensively, while others are strategically positioning to capitalise on emerging opportunities.
New data has shown a progressive deterioration in risk appetite among instos even prior to Donald Trump’s latest round of tariffs.
UniSuper has reached “peak investment” in US assets and is now preparing to reassess its exposures amid ongoing sharemarket volatility.
Investors have slashed their US equity allocations to the lowest level on record, according to new data from Bank of America.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
90.28 3 y p.a(%)
2
GAM LSA Private Shares AU I
37.08 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.44 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.12 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
28.28 3 y p.a(%)
