Advisors Grow Bearish on U.S. Markets, Pivot to Global Diversification: Survey
Nearly two-thirds of advisors (62%) say they are more bearish about the markets today than they were 12 months ago, according to the 2025 Interactive Brokers Advisor Insights Survey, conducted in April. In contrast, just 12% report increased optimism, reflecting heightened caution among wealth professionals amid rising volatility.
Among the 113 registered investment advisors (RIAs) surveyed, 38% identified as bearish on the U.S. market, compared to 31% who remain bullish. Outlooks improve outside the U.S.: 38% of advisors are bullish on global markets, while only 11% are bearish internationally.
With tariffs and shifting U.S. policy cited as top concerns driving volatility, many advisors are reallocating portfolios beyond domestic equities, with 42% of RIAs surveyed increasing exposure to non-U.S. equities, while 40% are reducing allocations to U.S. stocks.
Advisors are also making other shifts in asset allocation, including increasing cash holdings (37%); increasing fixed income positions (29%); investing more in commodities (28%); and increasing exposure to non-US currencies (27%).
“Advisors are acting as strategic shock absorbers for their clients right now—managing risk by leaning into global diversification,” said Steve Sanders, EVP of marketing & product development at Interactive Brokers. “They’re navigating market volatility and client anxiety while also juggling more new business—as more investors tend to seek out professional guidance during choppy market cycles.”
Despite caution in market outlooks, sentiment around business growth remains upbeat, with 61% of advisors expecting their firms to grow in 2025, including 17% who express strong confidence in their ability to expand.
