Advisors Take a Shine to PMs
Source: Investment Executive, Megan Harman (7/8/10)
"Advisors increasingly bullish on precious metals."
The June survey polled nearly 200 advisors, who collectively oversee an estimated $20 billion in client assets, on their outlook for various asset classes.
More than half of Canadian advisors are bearish on U.S. large-cap stocks, represented by the S&P 500 Index, and 45% are bearish on the NASDAQ 100 Index. Both indexes retreated by more than 11% during the second quarter.
But advisors' weakening appetite for stocks was offset by increasing bullishness for precious metals and energy—in particular, gold and natural gas.
Advisors' bullish sentiment for gold stocks on the S&P/TSX Global Gold Index rose to a clear majority of 62%, while sentiment for gold bullion increased by 13 percentage points to 68%.