Page 1

SmartMoney Insider REPORT


Investor Sentiment REPORT june 2009


Investor Sentiment june 2009 SmartMoney empowers our affluent baby boomer audience to make smart investing, saving and spending decisions. SmartMoney’s audience wants to make smart financial decisions to enjoy their lives, prepare for retirement and achieve their dreams. SmartMoney is their trusted source of information to assist them in making financial moves to reach their goals. SmartMoney’s role as a trusted financial authority is more

relevant today than ever before. SmartMoney is a trusted partner and resource for consumers who are looking for guidance as they make sense of the recent economic turmoil and the issues they face in their financial lives. The latest research shows that SmartMoney’s audience is optimistic and prepared for the financial market’s comeback.

Optimistic

73% of SmartMoney investors feel in control of their investments 72% of investors are confident that they will be able to meet their long-term financial goals 98% feel they will be “prepared” when the market and economy start to come back 66% believe the stock market will start to comeback within the next year

Opportunistic Despite the continuing economic volatility, SmartMoney investors still look long-term. 65% are buying stocks to take ad-

21%

vantage of lower market prices, while only 28% are nervous but staying put—a 20 point decrease from our last survey.

SmartMoney investors purchased stocks, mutual funds

and ETFs in the past 6 months. They did move some of their

21%

Increase in value Income from it

58%

Safest place for it

investments into liquid assets as seen in the increase in CDs and Money Market Funds. Moving forward, SmartMoney investors are looking to buy longer-term investments such as stocks, futures, ETFs and international investments.

Investment

Bought in past 12 months

Plan to buy next 12 months

Stocks

92%

65%

Mutual Funds

87%

Bonds

81%

CDs Real Estate

Bought in past 12 months

Plan to buy next 12 months

529 Plans

76%

67%

63%

Annuities

76%

38%

61%

ETFs

79%

75%

87%

50%

Options

72%

78%

46%

66%

Tangible Assets

81%

58%

401(k)

94%

58%

International Investments

83%

73%

Money Market Funds

93%

53%

Hedge Funds

64%

57%

Self-directed IRA

87%

61%

Futures

54%

80%

Contact: Joseph Dressler — National Advertising Director

Investment

212.373.9170

jdressler@smartmoney.com


During these uncertain times, saving for retirement and paying off debt remained top priorities for SmartMoney investors. If they were given $10,000 tax-free, they would use the money towards retirement, paying off debt and investing in the stock market.

Spending Wisely

Retirement

37%

Paying off debt (mortgage, college tuition, etc.)

29%

Speculative investing

26%

Home improvement/remodeling

24%

Travel

18%

Auto

9%

College Savings

6%

Where They Are Spending (Next Six Months)

The ongoing financial crisis has prompted consumer to re-evaluate their spending habits—63% of SmartMoney consumers have changed their spending habits. Aware of the market’s downturn, they recognize how the slowed economy can yield some of the most valuable purchases they’ll ever make. Our audience is spending their hard-earned money on products and services that help them enjoy their lives.

Travel

86%

Computers/Peripherals

59%

Home Furnishings

37%

Electronics

32%

Automobiles

17%

Resourceful SmartMoney investors are relying on more resources and consider research integral to their success. They value SmartMoney and their financial professionals’ advice now more than ever before:

SmartMoney investors look to various sources for investing/ personal finance information and consider the following to be the top sources:

84% feel the need to do more research before making investment decisions

Financial websites

97%

Personal finance/business magazines

92%

Newspapers

73%

TV/Radio

66%

Friends/Colleagues/relatives

49%

63% consider a paid advisor an important source of investing/personal finance information 30% conduct research on their own and then consult with their financial advisor

Investor Demographics

62% of investors use a discount brokerage while 36% use a full-service brokerage

HHI $100,000+

44%

Portfolio value $250,000+

63%

1 in 4 SmartMoney investors are more likely to discuss their financial plans with a financial advisor and 59% are more likely to seek out information from SmartMoney and other trusted resources in this volatile market

C-Level/Top Management

22%

Professional/Managerial

46%

Broker/Financial Advisor/ Planner

3%

Source: SmartMoney Investor Sentiment Survey, June 2009. SmartMoney investors are subscribers or regular readers of SmartMoney magazine and users of SmartMoney.com. 1200 respondents.

Contact: Joseph Dressler — National Advertising Director

212.373.9170

jdressler@smartmoney.com


Investor Sentiment REPORT November 2008


Investor Sentiment November 2008 SmartMoney empowers our baby boomer audience to make smart investing, saving and spending decisions. SmartMoney’s audience is interested in making smart financial decisions to enjoy their lives, prepare for retirement and achieve their dreams. SmartMoney is their trusted source of information to assist them in making financial moves to reach their goals. SmartMoney’s role as a trusted financial authority is

more relevant today than ever before. SmartMoney is a trusted partner and resource for consumers who are looking for guidance as they make sense of the recent economic turmoil and the issues they face in their financial lives. During the past three months’ economic turmoil, SmartMoney investors confidence levels have waivered slightly but they remain confident that they will be able to meet their long-term financial goals.

Cautiously Optimistic

63% of SmartMoney investors feel in control of their investments

70% of investors are confident that they will be able to meet their long-term financial goals

Opportunistic The current economic volatility has SmartMoney investors continuing to look long-term. Nearly half are nervous but staying

25%

put, while 44% are buying shares of select stocks/funds/ETFs.

SmartMoney investors purchased stocks, mutual funds

and ETFs in the past 3 month. They did move some of their investments into liquid assets as seen in the increase in CDs

Increase in value Income from it

55% 20%

Safest place for it

and Money Market Funds. Moving forward, SmartMoney investors are looking to buy longer-term investments such as stocks, ETFs and international investments. Investment

Bought in past 12 months

Plan to buy next 12 months

Stocks

91%

64%

Mutual Funds

92%

Bonds

77%

CDs Real Estate

Bought in past 12 months

Plan to buy next 12 months

529 Plans

81%

71%

57%

Annuities

73%

39%

60%

ETFs

79%

70%

83%

55%

Options

73%

66%

51%

62%

Tangible Assets

80%

53%

401(k)

96%

59%

International Investments

87%

64%

Money Market Funds

93%

55%

Hedge Funds

59%

56%

Self-directed IRA

86%

61%

Futures

52%

73%

Contact: Joseph Dressler — National Advertising Director

Investment

212.373.9170

jdressler@smartmoney.com


During these uncertain times, saving for retirement and paying off debt has become top priorities for SmartMoney investors. If they were given $10,000 tax-free, they would use the money towards retirement, paying off debt and investing in the stock market. Spending this money on travel and home improvement has dropped in the past three months with more of a focus on the long-term.

Retirement

39%

Paying off debt (mortgage, college tuition, etc.)

31%

Speculative investing

25%

Home improvement/remodeling

14%

Travel

14%

College Savings

7%

Auto

5%

Resourceful SmartMoney investors are relying on more resources and consider research integral to their success. They value SmartMoney and their financial professionals’ advice more now than ever before:

SmartMoney investors look to various sources for investing/ personal finance information and consider the following to be the top sources:

81% feel the need to do more research before making investment decisions

Financial websites

95%

Personal finance/business magazines

92%

Newspapers

73%

TV/Radio

66%

Friends/Colleagues/relatives

50%

66% consider a paid advisor an important source of investing/personal finance information 32% conduct research on their own and then consult with their financial advisor 55% of investors use a discount brokerage while 34% use a full-service brokerage 1 in 3 SmartMoney investors are more likely to discuss their financial plans with a financial advisor and 63% are more likely to seek out information from SmartMoney and other trusted resources in this volatile market

Investor Demographics HHI $100,000+

45%

Portfolio value $250,000+

61%

C-Level/Top Management

23%

Professional/Managerial

51%

Broker/Financial Advisor/ Planner

3%

Source: SmartMoney Investor Sentiment Survey, November 2008. SmartMoney investors are subscribers or regular readers of SmartMoney magazine and users of SmartMoney.com. 1333 respondents.

Contact: Joseph Dressler — National Advertising Director

212.373.9170

jdressler@smartmoney.com


SmartMOney Proprietary research


INVESTING

COMEBACK SmartMoney readers and users, shows that the SmartMoney audience is optimistic and prepared for the financial market’s comeback. •

96% feel they will be “prepared*” when the market and economy start to come back

52% believe the stock market will start to comeback within the next 9 months

57% of cash holdings in their portfolios are the same or less than it was 3 months ago

62% plan to move their cash into other investments like stocks and bonds within the next 9 months

In the next 3 months, 58% plan to trade the same amount or more than the previous month

Stocks

64%

ETFS

70%

International Investments

64%

Futures

73%

55% 80 70

Contact: Joseph Dressler - National Advertising Director 212.373.9170 jdressler@smartmoney.com

64%

73%

60 50 40 30

Source: SmartMoney Insider, April 2009. SmartMoney Investor Sentiment Survey, November 2008. *Prepared is defined as one or more of the following: being invested in the market, being ready to invest in the market, having the right asset allocation, or having a financial plan/strategy.

64%

70%

20 10 0

FUTURES

for guidance during economic turmoil. The latest research, conducted with

INT’L INVESTING

ever before. SmartMoney is a partner and resource for consumers looking

ETFS

SmartMoney’s role as a trusted financial authority is more relevant today than

42% are buying stocks to take advantage of lower market prices and are continuing to look to buy longer-term investments such as stocks, ETFs and international investments. In the next 12 months, they plan to buy:

STOCKS

MARKET OPTIMISM

SmartMoney Insider Report - June 2009  
SmartMoney Insider Report - June 2009  

Investor Sentiment Report - June 2009

Advertisement