April AAII Asset Allocation Survey: Lowest Level of Cash in a Year

Individual investors’ exposure to cash fell to a 13-month low last month. The April AAII Asset Allocation Survey also showed higher equity allocations and a slight decline in fixed-income allocations.

Stock and stock fund allocations rebounded by 2.4 percentage points to 67.8%. This was the largest exposure to equities since last October (69.5%). Last month was also the 73rd consecutive month with equity allocations above their historical average of 61.0%.

Bond and bond fund allocations declined 0.3 percentage points to 17.1%. Fixed-income allocations remained above their historical average of 16.0% for the third time in four months.

Cash allocations fell by 2.2 percentage points to 15.1%. This was the lowest level since March 2018 (14.7%). Cash allocations were also below their historical average of 23.0% for the 89th consecutive month.

New record highs for the stock market helped to boost the value of individual investors’ equity holdings. Pessimism about the short-term direction of the stock market in our weekly Sentiment Survey was also low throughout much of the month. Many AAII members follow a long-term approach to investing. Differences in which members take the survey each month may impact the results.

April AAII Asset Allocation survey results:

• Stocks and stock funds: 67.8%, up 2.4 percentage points
• Bonds and bond funds: 17.1, down 0.3 percentage points
• Cash: 15.1%, down 2.2 percentage points

April AAII Asset Allocation survey details:

• Stocks: 30.8%, up 0.2 percentage points
• Stock Funds: 37.0%, up 2.2 percentage points
• Bonds: 3.3%, down 0.2 percentage points
• Bond Funds: 13.8%, unchanged

Historical Averages:

• Stocks/Stock Funds: 61.0%
• Bonds/Bond Funds: 16.0%
• Cash: 23.0%

The numbers are rounded and may not add up to 100%.

The AAII Asset Allocation Survey has been conducted monthly since November 1987 and asks AAII members what percentage of their portfolios are allocated to stocks, stock funds, bonds, bond funds and cash. The survey and its results are available online at: www.aaii.com/investor-surveys.

Want to weigh in? Take the survey yourself and see results online at www.aaii.com/assetallocationsurvey

If you want to become an effective manager of your own assets and achieve your financial goals, consider a risk-free 30-day Trial AAII Membership.

• Stocks and Stock Funds: 67.8%, up 2.4 percentage points
• Bonds and Bond Funds: 17.1%, down 0.2 percentage points
• Cash: 15.1%, down 2.2 percentage points

• Stocks: 30.8%, up 0.2 percentage points
• Stocks Funds: 37.0%, up 2.2 percentage points
• Bonds: 3.3%, down 0.2 percentage points
• Bond Funds: 13.8%, up 0.0 percentage points

• Stocks/Stock Funds: 61.0%
• Bonds/Bond Funds: 16.0%
• Cash: 23.0%