Friday, April 3, 2026

HNW Investor Optimism Falls

Fri, 05 August 2022  |  investing 

According to the latest quarterly Investor Sentiment survey from UBS optimism among high-net-worth investors dipped to early-pandemic levels. The survey of over 2,800 investors and 1,100 business owners in 14 markets found that investors are saving for retirement and delaying big purchases.

Nearly three-quarters of investors are worried about making bad investment decisions and are holding cash. Despite this, they see long-term investment opportunities in energy security, smart mobility, and automation/robotics.

Iqbal Khan, President of UBS Europe, Middle East, and Africa and Co-President of UBS Global Wealth Management, said investors are worried about inflation, the Ukraine war, and a recession. In challenging times, investors need expert guidance to understand the environment and potential opportunities to support their liquidity, longevity, and legacy needs.

Business owner optimism has rebounded after the largest drop in two years, and most plan to continue hiring and investing over the next year. Rising material costs and wage inflation are driving nearly half of business owners to raise prices in the next six months.

Tom Naratil, President of UBS Americas and Co-President of UBS Global Wealth Management, said business owners' increased optimism and focus on hiring and investing is an encouraging sign given the current market environment. Business planning, portfolio diversification, and exit planning advice will help them navigate the market.

Findings:

US

Short-term investor optimism on the economy and stock market fell to 39% and 37% from 58% in May. If markets decline 10%, younger investors (Millennials and younger) are more likely to increase their market allocation (38%). (18 percent among Boomers and older). The economy (85%), healthcare (74%), taxes (72%), and Social Security are the top issues for high-net-worth investors ahead of the midterm elections (71 percent ).

Brazil

53% of Latin American investors are optimistic about the economy and stock market, compared to 60% in the US. Their optimism stems from a return to normalcy, strong consumer demand, and potential market dips.

Europe

High-net-worth investors in Europe are less optimistic about the stock market and economy than they were in May. Optimistic Europeans cite company earnings, employment, and consumer demand.

APAC

6 in 10 investors in Asia Pacific are optimistic about the stock market and economy, the highest of all regions. Long-term investment themes include energy security and smart mobility.

UBS Investor Sentiment poll

UBS surveyed 2,864 investors with $1M in investable assets and 1,129 business owners with $1M in annual revenue and at least one employee from June 29 to July 19, 2022. The global sample included Argentina, Brazil, Mainland China, France, Germany, Hong Kong, Italy, Japan, Mexico, Singapore, Switzerland, UAE, UK and US. UBS surveyed 2,644 investors and 1,084 business owners from March 30-April 22, 2022.

Source: UBS