Advisors exhibited behaviors consistent with longer-term trends across the board. Allocation to cash remained unchanged this week at 4.09%.
As the markets continue to plug along, despite some frightening economic data points, many investors have a feeling the market recovery is "too good to be true". In case you missed the call yesterday, hear Tim Clift, Chief Investment Strategist of Envestnet | PMC, give his outlook on the markets and the economy and what he'’ll be keeping an eye on as we navigate through these unprecedented times.
Allocations to cash were reduced by 21% this past week, the most significant drop in cash levels since crisis began.
Cash increased marginally from 5.11% to 5.25% last week. Cash is sustaining at roughly two times the average since early April. Advisors remained risk averse again this week favoring less risky assets, which is a continuation of long-term investing behavior.
Last week was a marked change for advisors with investment activity shifting back to fixed income categories.