TOKYO, PLANTATION, Fla., and HONG KONG, March 26, 2012 (GLOBE NEWSWIRE) -- TradeStation Securities ("TradeStation"), a wholly owned subsidiary of Monex Group, Inc. (TSE:8698), which also includes Monex, Inc. ("Monex") and Monex Boom Securities, announced today results of the "Monex Global Retail Investor Survey, Vol. 4," revealing that a majority of TradeStation clients are excited by the recent rally of U.S. stocks but don't believe that their bullish sentiment will expand to the rest of the world. In fact, 77% of respondents believe that the European debt crisis could bring significant risks to the market this year, as it did in 2011.
Monex has been conducting its monthly retail investor survey since October 2009 with its Japanese clients. The "Monex Global Retail Investor Survey," covering retail clients from Japan, Hong Kong and the U.S., started in June 2011 and is conducted on a quarterly basis.
A majority of TradeStation clients continue to say that if President Obama is likely to be reelected, they will be more bearish. Should a Republican appear likely to be elected president, 39% of those surveyed will take a more bullish approach. Despite worry over the Euro debt crisis, TradeStation traders are optimistic about certain industry sectors. A majority expect basic materials, energy, healthcare and technology to be attractive over the next three months. Their expectations are lowest for autos, conglomerates, financial services, real estate and transportation. U.S. stocks, say a majority of TradeStation customers, will outperform stocks in Europe/U.K., Asia (excluding Japan) and Japan. Nearly one-half of all U.S. respondents say the U.S. dollar will outperform the euro, Japanese yen, British pound, Australian dollar and Chinese yuan over the next three months.
"This survey reveals the level of our clients' concerns about the world markets and the international political landscape," says Salomon Sredni, CEO of TradeStation Group., Inc. and COO of Monex Group, Inc. "Our clients are making important investment decisions in the face of significant world events, so it's more important than ever to provide our clients with top-of-the-line analysis and trading tools."
The report uses the Diffusion Index (*DI) to assess investor sentiment.
(*DI = Percent of positive responses – Percent of negative responses)
Other findings from the survey are summarized below. Please refer to the full report for complete results.
Japanese investor expectations of Japanese and U.S. stocks have improved over the last four months; their expectations for China worsened.
- Expectations for Japanese stocks improved by 8 points from a DI of 40 points to 48 points.
- Expectations for U.S. stocks improved by 5 points from 53 points to 58 points.
- Chinese stock expectations worsened, falling from 1 point to -7 points, a drop of 8 points.
When asked about their expectations for global equity markets over the next three months, investors in all three markets showed improved outlooks. Most positive were Japanese investors, with the DI gaining 46 points. The DI for the U.S. gained only 5 points and the reading remained in the negative.
Seventy percent of investors surveyed expect the Japanese yen to decline against the dollar over the next three months; this percentage increased by 6 points since the last survey, hitting 70% for the first time since April 2011.
Japanese investors were the most bullish about the prospect of stocks in other countries rallying along with U.S. equities. Some 55% of Japanese predicted that non-U.S. stocks would rally, compared to 46% of Hong Kong investors and just 22% of U.S. investors.
Large majorities of U.S. and Japanese investors remain concerned about the risk that the European debt crisis could bring in 2012, with the percentage in the U.S. exceeding 70% followed by 65% of Japanese investors. Among Hong Kong investors, slightly less than half (46%) expressed such concerns.
Overall, investor stances in each region could be summarized as:
- Japan: European debt crisis could be a risk but investors' outlook is positive on stocks.
- U.S.: European debt crisis could be a risk and investors' outlook is negative on stocks.
- Hong Kong: European debt crisis isn't much of a risk and investors' outlook is positive on stocks.
The Monex Global Retail Investor Survey measures customer sentiment based upon answers to specific questions received from a random sampling of customers of Monex, Inc., TradeStation Securities, Inc., TradeStation Forex, Inc., and Monex Boom Securities (H.K.) Ltd. Details of the methodology used to conduct the survey are available upon request. Accuracy and completeness of the data derived from the survey is not guaranteed.
The information contained herein should not be construed as investment research or an offer or solicitation to buy or sell securities, securities derivatives, futures or off-exchange foreign currency products or services. Investor sentiment derived from the survey responses is no guarantee of future performance or success.
Active trading regardless of asset class (equities, futures, foreign exchange) carries a high level of risk and may not be suitable for all investors. Relevant risk disclosures are available at www.tradestation.com.
About Monex Group, Inc. and Monex, Inc.
Monex Group, Inc. (Tokyo Stock Exchange 1st section: 8698; Chairman and CEO: Oki Matsumoto) provides online investment and trading services for retail and institutional customers around the world through its subsidiaries including Monex in Japan, TradeStation in the US & Europe, Monex Boom in Hong Kong and IBFX for Forex business. Monex Group is pursuing its "Global Vision" strategy to establish a truly global online financial institution that creates positive synergies for all stakeholders.
Its main subsidiary, Monex Inc., one of the largest online securities brokerages in Japan, provides advanced and unique financial services to its nearly 1 million individual investors. Monex Group's services also cover M&A advisory, debt & equity underwriting, asset management focusing on alternative investments, investment education, and other investment banking functions in Japan.
About TradeStation Group, Inc.
TradeStation Group, Inc. through its principal operating subsidiaries, TradeStation Securities, Inc. and TradeStation Forex, Inc. offers the TradeStation analysis and trading platform to the active trader and certain institutional trader markets. The TradeStation platform offers electronic order execution and enables clients to design, test, optimize, monitor and automate their own custom Equities, Options, Futures and Forex trading strategies. TradeStation acquired IBFX Holdings, LLC in November 2011, expanding TradeStation's forex business in the U.S. and globally. TradeStation is a wholly owned subsidiary of Monex Group, one of the largest online financial services providers in Japan.
TradeStation Securities, Inc. (Member NYSE, FINRA, SIPC, NSCC, DTC, OCC & NFA) is a licensed securities broker-dealer and a registered futures commission merchant, and also a member of the Boston Options Exchange, Chicago Board Options Exchange, Chicago Stock Exchange, International Securities Exchange and NASDAQ OMX. Its TradeStation Prime Services division, based in New York, seeks to provide prime brokerage services, including securities lending, to small and mid-sized hedge funds and other firms. TradeStation Forex, Inc. (Member NFA), a Retail Foreign Exchange Dealer (RFED) and IBFX Australia Pty. Ltd., authorized and regulated by the Australian Securities and Investment Commission, provide the company's forex brokerage offering. The company's technology subsidiary, TradeStation Technologies, Inc., develops and offers strategy trading software tools and subscription services. TradeStation Europe Limited is an FSA-authorized brokerage firm which introduces UK and other European accounts to TradeStation Securities, Inc. and TradeStation Forex, Inc.
About Monex Boom Securities (H.K.) Limited
Monex Boom Securities (H.K.) Limited ("BOOM") offers multi-market and multi-currency online securities trading services to investors all around the world. With BOOM's proprietary web-based trading platform, investors can trade equities in all major exchanges and manage different major currencies via one single account. Currently, it offers access to securities listed on over 17 stock markets in 12 countries. In addition, BOOM also develops trading solutions for other financial institutions. Being the first company to launch Internet stock trading in Asia/Pacific, BOOM introduced a new pattern of self-directed cross-border investment by applying new technology to traditional equities trading and financial services. BOOM aims to provide retail investors with PRIVATE, EASE, SPEEDINESS and INEXPENSIVE international stock trading services.
BOOM is a fully licensed Broker / Dealer regulated by the Securities and Futures Commission (SFC) of Hong Kong, founded in 1997 and headquartered in Hong Kong.