Investor Confidence Increases in April by 2.6 points to 99.5

North American and European Investor Confidence Improves While Asian Investor Confidence Declines in April

Tuesday, April 25, 2017 2:47 pm EDT

Dateline:

BOSTON

Public Company Information:

NYSE:
STT

BOSTON, April 25, 2017 State Street Global Exchange today released the results of the State Street Investor Confidence Index® (ICI) for April 2017.

The Global ICI increased to 99.5, up 2.6 points from March’s revised reading of 96.9.  Confidence among the North American investors improved with the North American ICI rising 4.6 points to 98.3. The European ICI also rose from 94.8 to 96.1. Meanwhile, the Asian ICI declined by 5.1 points from 109.8 to 104.7.

The Investor Confidence Index was developed by Kenneth Froot and Paul O’Connell at State Street Associates, State Street Global Exchange’s research and advisory services business. It measures investor confidence or risk appetite quantitatively by analyzing the actual buying and selling patterns of institutional investors. The index assigns a precise meaning to changes in investor risk appetite: the greater the percentage allocation to equities, the higher risk appetite or confidence. A reading of 100 is neutral; it is the level at which investors are neither increasing nor decreasing their long-term allocations to risky assets. The index differs from survey-based measures in that it is based on the actual trades, as opposed to opinions, of institutional investors.

“April has seen some improvement in North America and Europe despite looming geopolitical tensions and policy uncertainty in the US and abroad,” commented Froot. “Our measure of the Global investor confidence has been on the uptick for two consecutive months and resonated with the improving global growth outlook and expectations of higher inflation. Still shy of the 100 level mark, investors' risk appetite appears to be on hold as they await details of a new US  tax plan and a possible resurrection of health care reform act.”

“April’s index was calculated before France went to the polls, but it is telling that European investor confidence was still edging higher even then to mark the second consecutive monthly gain. It is suggestive that concerns at the start of the year about European political risk, along with weak growth, may have been overplayed,” commented Michael Metcalfe, senior managing director and head of Global Macro Strategy, State Street Global Markets. 


About the State Street Investor Confidence Index®
The index is released globally at 10 a.m. Eastern time in Boston on the last Tuesday of each month. More information on the State Street Investor Confidence Index is available at http://www.statestreet.com/ideas/investor-confidence-index.html.

About State Street Corporation
State Street Corporation (NYSE: STT) is one of the world's leading providers of financial services to institutional investors, including investment servicing, investment management and investment research and trading. With $29 trillion in assets under custody and administration and $2 trillion* in assets under management as of December 31, 2016, State Street operates in more than 100 geographic markets worldwide, including the US, Canada, Europe, the Middle East and Asia. For more information, visit State Street’s website at www.statestreet.com.

* Assets under management were $2.47 trillion as of December 31, 2016. AUM reflects approximately $30.62 billion (as of December 31, 2016) with respect to which State Street Global Markets, LLC (SSGM) serves as marketing agent; SSGM and State Street Global Advisors are affiliated.

The views expressed in this material are the views of State Street through the period ended April 25, 2017 and are subject to change based on market and other conditions.
This news announcement contains forward-looking statements as defined by United States securities laws, including statements about the financial outlook and business environment. Those statements are based on current expectations and involve a number of risks and uncertainties, including those set forth in State Street's 2015 annual report and subsequent SEC filings.  State Street encourages investors to read the corporation's annual report, particularly the section on factors that may affect financial results, and its subsequent SEC filings for additional information with respect to any forward-looking statements and prior to making any investment decision. The forward-looking statements contained in this press release speak only as of the date hereof, April 25, 2017 and the company will not undertake efforts to revise those forward-looking statements to reflect events after this date.
State Street Corporation One Lincoln Street, Boston, MA 02111-2900.


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Expiration Date: 04/30/2018

 

Contact:

Kerri Doherty
+1 617 664 1898
KCDoherty@statestreet.com
@StateStreet

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