Bye bye, Memestocks – hello, more stable, traditional investment types. 👋
Data this year showed that as the economy initiated its downward spiral, retail investors switched their holdings from single stock purchases to ETFs. According to Vanda Research, 2022 showed a 4.4% drop YTD in single stock inflows. On the contrary, ETF inflows this year gained a whopping +114% to $116 billion.
Here are some other interesting data points:
- Compared to 2021, when retail portfolios were up 14%, retail investor portfolios this year were down 39% on average… yikes.
- This year, the $SPY SPDR S&P 500 ETF saw $28.6 billion in inflows compared to last year’s $17.7 billion.
- Despite the steep decline in retail portfolio gains in 2022, just 1% of polled retail investors said they planned to exit their investments this year. 65% of retail said they don’t plan to move their investments, and 23% of the same group said they planned to invest more.
We’ll keep an eye on this trend heading as we approach the new year.
$SPY is down 19.58% YTD, $GME is down 45.54% YTD, and $AMC is down 80.3% YTD. 🫢