Advisor Sentiment Index: Advisors Remain Optimistic, For Now
Financial advisors’ sentiment toward the economy and the stock market remained relatively steady in July, even as fears of a near-term downturn increased.
Confidence in both the overall economy and the stock market dropped slightly in July 2026, according to the Wealth Management Advisor Sentiment Index, a monthly survey of financial advisors.
Their view of the markets fell three points to an index reading of 118, still in positive territory, while market sentiment dropped a mere point, to end the month at 105. (An index reading of 100 indicates a completely neutral view. Above 100 is positive, and below 100 is negative.)
While advisors’ views on the overall health of the financial system remained in line with the previous month, their views on the near-term future of both grew increasingly dim.
For the third month in a row, advisors’ view of the economy’s near-term outlook has declined. When asked to look out over the next six months, 40% of advisors said they expect a decline. Likewise, only 26% expect the economy to improve, a 12-percentage-point drop from the previous month.
The growth of pessimism is dramatic. In May, over half of advisors (55%) expressed a positive view of the economy’s short-term future.
Likewise, the six-month outlook for the stock market has dimmed among advisors. In June, 45% of advisors expected gains over the next six months. By July, only 29% held the same view.
When asked about their outlook for next year, advisors are more evenly split. For the economy, 42% expect a decline and 43% expect improvement (14% see no change). Likewise, 41% have a positive view of market returns over the next year, while only 36% expect declines.
Methodology, data collection and analysis by Wealth Management and Informa Engage. Data collected July 1-30, 2026. The methodology conforms to accepted marketing research methods, practices, and procedures. Respondents are asked for their view on the economy and the stock markets both currently, in six months and in one year. Responses are weighted and used to create an index tied to a neutral value of 100. Over time, the ASI will provide directional sentiment of retail-facing financial advisors.
