More Investors Say They Bought Stocks Than Sold
Last month’s Asset Allocation Survey special question asked AAII members what portfolio changes they made in reaction to the late-summer drop in stock prices. Nearly one out of three (31%) respondents said that they bought stocks, with an additional 6% saying that they bought equity funds. Conversely, about 13% said that they sold stocks and 12% reported higher cash allocations. (Some of those who sold stocks said that they increased their cash allocations.) Slightly less than a quarter of all respondents (23%) said that they didn’t make any changes.
Here is a sampling of the responses:
“I added to the positions of what I felt were well-run companies.”
“I managed to add a couple of stocks that I felt were now ‘on sale.’”
“I made no changes to my portfolio. I’ll let this fear cycle run its course.”
“Raised cash. Some stocks were stopped out.”
“Reduced stocks and increased cash.”