Schwab Q4 Retail Client Sentiment Report: Investors Turn More Bearish on the U.S. Stock Market but Confidence in Reaching Financial Goals Remains High

Jonathan Craig, Head of Retail Investing at Charles Schwab

“Short term market sentiment can shift quickly, and our clients are more cautious about where stocks are headed right now”

Jonathan Craig, Head of Retail Investing at Charles Schwab

“But importantly, overall retail investor confidence and engagement are still high. Clients feel good about their investment decision making and reaching financial goals despite shorter term concerns, and we see clients adding assets and opening new brokerage accounts as well as continuing to interact with us across digital channels and in our hundreds of branches across the country.”

James Kostulias, Head of Trading Services at Charles Schwab

“Experienced traders look for opportunity in every kind of market”

James Kostulias, Head of Trading Services at Charles Schwab

“Sentiment is more cautious, but traders aren’t retreating. Instead, they’re looking to buy weakness selectively, with a sharper focus on valuations, earnings, and areas where they see durable growth.”

Jonathan Craig, Head of Retail Investing at Charles Schwab

“Young investors express the same caution about the market that we see across the board this quarter, and they are more focused on the potential impact of an AI bubble”

Jonathan Craig, Head of Retail Investing at Charles Schwab

“But at the same time, they mirror the strong engagement we see across our client base, and they are looking for investing opportunities. According to our survey, six in 10 Gen Z investors plan to add to their portfolios between now and the end of the year, and a quarter say they will seek investing guidance or advice.”