Schwab clients were net buyers of equities in May according to the firm’s newly released analysis of a sample of millions of funded accounts.
The firm’s trading activity index known as STAX reveals a slight increase month-over-month to a score of 49.05 (from 48.87 in April), reflecting more bullish sentiment among investors, although only a ‘moderate-low’ ranking compared to historic averages.
But what did the behavior-based analysis reveal about investors’ stock positions in a period where U.S. equity markets rebounded from the volatile price swings that characterized the April period?
“As they were in April, Schwab clients were net buyers of equities during the May STAX period as they increased exposure to technology-related names, especially those related to AI Intelligence chip makers and the e-commerce and media companies that rely on them,” said Joe Mazzola, head Trading & Derivatives Strategist at Charles Schwab. “Despite a significant amount of buzz, we didn’t see any of the so-called ‘meme stocks’ rising to the top of the most bought or sold names in May, although we did note that interest in those names was significantly greater among Schwab’s younger clients than it was across the general client population.”
May gave investors a lot to think about as the S&P 500, Dow Jones Industrial Average, and Nasdaq all reached new highs, the Cboe Volatility Index tumbled to near historic lows, inflation and Treasury yields provided headwinds, and economic data was mixed.
The equities in the sights of Schwab clients in May included:
Meanwhile, those sold included:
The move to charge data aggregators fees totaling hundreds of millions of dollars threatens to upend business models across the industry.
The latest snapshot report reveals large firms overwhelmingly account for branches and registrants as trend of net exits from FINRA continues.
Siding with the primary contact in a marriage might make sense at first, but having both parties' interests at heart could open a better way forward.
With more than $13 billion in assets, American Portfolios Advisors closed last October.
Robert D. Kendall brings decades of experience, including roles at DWS Americas and a former investment unit within Morgan Stanley, as he steps into a global leadership position.
Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.
Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.
