Confidence in the economy is in negative territory for the second consecutive month.
The May Spectrem Affluent Household Outlook ticked upward 1.2 points to 17.80. but it is down roughly 12 points from May 2015.
The Spectrem Affluent Household Outlook is a monthly measure of long-term confidence in four financial factors that impact Affluent investors’ daily lives, and a projection of the state of those factors in 12-months’ time. Household Assets is at 43.60 points, which is up 2 points from April, but down just over 11 points from May 2014. Household Income is up nearly five points to 24.80, a 12-month high. This is the fourth consecutive monthly gain for Household Income, but this category if down 2.80 points from the same period last year. At 6.80 points, Company Health is unchanged from April, but it, too, is down almost 12 points from May 2015.
The Economy, though, is in negative territory for the second consecutive month at -4 points. This is down 2 points from April and down almost 19 points from May 2015. This was one of the factors in the decline in May of the Spectrem Affluent Investor Confidence indices, which track changes in investing sentiment among the 16.3MM households in America with more than $500,000 of investable assets (SAICI), and those with $1MM or more (SMICI). The SMICI dropped 6 points to 5 and the SAICI dropped 4 points to 0
An analysis of Spectrem research by wealth segments finds Millionaires with a more positive Household Outlook than their non-Millionaire counterparts. The Spectrem Outlook for Millionaire households gained 3.51 points in May to 20.31 points. The Spectrem Outlook for non-Millionaires dipped 1.23 points from the previous month to 18.85 points. Millionaire confidence in Household Income surged 12.50 points. to 30.47 points, a 15-month high, while Household Assets gained 7.03 points. to 48.44 points and the Economy gained 3.82 points. to
There is another optimism gap between men and women. The May Spectrem Affluent Household Outcome for men is at 21.17 points, a gain of 2.5 points from the previous month. The Outlook for women is at 12.75 points, down just over half of a point from April. Affluent men report more confidence in Household Income, Household Assets, Company Health and the Economy than women with the largest confidence gap between men and women in Household Assets (50.37 points. for men, and at 33 points for women)
Affluent investors who identify themselves as Democrats posted a higher overall Spectrem Affluent Household Outlook in May (28.13 points) than those who identify as an Independent (20.60 points.) or Republican (9.84 points). Affluent Democrats are especially feeling confident about the Economy 28.57 points) compared with Independents (-25 points.) and Republicans
Donald Liebenson writes news and features for Millionaire Corner. He has been published in the Chicago Tribune, The Chicago Sun-Times, The Los Angeles Times, Fiscal Times, Entertainment Weekly, Huffington Post, and other outlets. He has also served as a marketing writer for Chicago-based Questar Entertainment and distributor Baker & Taylor.
A graduate of the University of Southern California, he is married with a college-age son. He also writes extensively about entertainment.