RIAs in the US are most worried about volatility and coronavirus (Covid-19) while their trade woes are on the wane, finds a survey by E*TRADE Advisor Services.
E*TRADE’s recent Independent Advisor Tracking study polled 225 independent registered investment advisers.
Of those polled, 53% were concerned the most about volatility while 38% were worried about coronavirus. The figures are said to be in “stark comparison” to December.
Besides, recession and the ongoing trade tensions were the concerns of 28% and 21% of the respondents, respectively.
In this context, advisers see the most potential in the health care sector investments (22%).
This is a rise of six percentage points from last December.
The study also found 55% of the advisers managing against a recession, up eight percentage points from the end of last year.
Moreover, 85% of the advisers were found actively managing against volatility, up 20 percentage points.
The advisers believe that the top mistake clients make is looking to time the market.
E*TRADE Advisor Services managing director Gabriel Garcia said: “We are in unprecedented times, and with the length of the pandemic a big question mark, it’s undoubtedly a major driver of client anxiety.
“As client inquiries surge, filled with emotional decision-making and temptations to time the market, advisers are uniquely positioned to help them navigate through these turbulent waters. The first step is to acknowledge client concerns.”