The State Street Institutional Investor Indicators provide investors, policymakers, and the public with insights into the aggregated and anonymized positioning, risk appetite, and portfolio carbon exposures of thousands of institutional investors around the world, representing trillions of dollars in assets.
The Holdings Indicator tracks the aggregated portfolio holdings of institutional investors across stocks, bonds, and cash in percentage terms.
- The Institutional Investor Holdings Indicator measures the broad asset allocations of institutional investors to cash, stocks, and bonds
- During times of market stress, cash allocations tend to rise while stock allocations tend to fall
- When short-term interest rates are relatively high, cash holdings tend to rise relative to bonds
- Released monthly
- The State Street Holdings Indicators showed that long-term investor allocations to equities fell by 0.2 percentage points to 51.6%.
- While cash holdings rose 0.6 percentage points to 20.5%.
- The allocation to fixed income fell by 0.4 percentage points to 27.9%.
- The State Street Risk Appetite Index fell to -0.09 from 0.18, revealing a slight risk-off bias in January as institutional investors reevaluate the pace of rate cuts throughout 2024.
- Institutional investors demand for risky assets fell across equity, fixed income and FX markets.
- In FX markets the most notable sign of more defensive behaviour was the resumption of USD buying, largely at the expense of emerging market currencies.
- Fixed Income ex Bills