BOSTON--(BUSINESS WIRE)--According to a Fidelity Investments® poll taken on October 9—a day when the S&P 500 Index was down 2 percent—many active investors, who make several trades a month, are in a resilient frame of mind when it comes to talk of a market correction, with most planning to take advantage of bargains if the markets continue downward. The respondents are most bullish about the healthcare and technology sectors and those with investments in ETFs and options plan to use them more.
The poll involved more than 5,000 in-person and online attendees of Fidelity’s San Francisco Traders’ Summit. On average, 2,239 active investors answered each question.
“Fidelity Traders’ Summits attract highly engaged investors, so it’s interesting to learn about their allocation plans, with many expressing enthusiasm for the buying opportunities that volatility brings,” said Ram Subramaniam, president of Fidelity’s retail brokerage business, which has more than 15 million accounts. “These summits enable us to gain and share insights based on real-time views of leading edge investors who are helping shape macro trends, informing our research and market perspective. For instance, 45 percent believe the healthcare sector has the most upside over the next 12 months, while 32 percent favor investments in the technology sector.”
Investment Choices Revealed
The Traders’ Summit Poll found that when active investors are given the choice of where they would put their next investing dollar, 75 percent choose equities, 12 percent choose cash, 7 percent real estate and 6 percent bonds. And, over the next 12 months:
- Of the active investors currently using ETFs, 55 percent plan to increase those investments, 41 percent will keep them constant and 5 percent will decrease their ETF investments.
- Of the active investors currently using options, 57 percent plan to increase those investments, 37 percent will keep them constant and 7 percent will decrease their options investments.
Where Do Active Investors Get Their Trade Ideas (And Where Can Less Active Investors Turn)?
At least for active investors, traditional news is still going strong: four in ten investors (41 percent) turn most to business and financial news outlets for their trading ideas versus just 3 percent who rely on new media, such as blogs and Twitter. The next top two sources for trading ideas are newsletters/investment clubs (25 percent) and the investors’ own daily observations (14 percent). When asked how long they research their stock investing ideas before making a purchase, half (49 percent) of the investors spend a few days, 34 percent spend a few weeks and 17 percent typically research and purchase stocks on the same day.
For investors interested in learning how to find and research sectors, ETFs, options and stocks that best fit their financial goals, Fidelity’s Learning Center has a curriculum of written and video tutorials about Fidelity’s research tools. To watch highlights of a technology investing panel discussion from the Oct. 9 San Francisco Traders’ Summit, visit the Fidelity Viewpoint® “Potential Investing Ideas for the Future.” To read about investing strategies for a volatile market, visit the Viewpoint “Six Strategies for Volatile Markets.”
About the Fidelity Traders’ Summit Poll
The poll was taken during a Fidelity Traders’ Summit in San Francisco, CA, on Oct. 9, 2014 that included more than 5,000 in-person and webcast attendees who are Fidelity customers. Between 828 and 4,031 attendees responded to each poll question for an average of 2,239.
About Fidelity Investments
Fidelity’s goal is to make financial expertise broadly accessible and effective in helping people live the lives they want. With assets under administration of $4.9 trillion, including managed assets of $2.0 trillion as of September 30, 2014, we focus on meeting the unique needs of a diverse set of customers: helping 23 million people investing their own life savings, 20,000 businesses to manage their employee benefit programs, as well as providing 10,000 advisors and brokers with technology solutions to invest their own clients’ money. Privately held for nearly 70 years, Fidelity employs 41,000 associates who are focused on the long-term success of our customers. For more information about Fidelity Investments, visit www.fidelity.com.
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