The coronavirus economic shock has left Americans downbeat about stock market investing, even after the major market rebound off March lows, according to a new survey from Gallup.
Only 21% of Americans think stocks or mutual funds are the best long-term investment — down six points from 2019 — which is the lowest percentage recorded by Gallup since 2012.
The drop occurred among both high-income and low-income Americans, with a decline of nine points each from last year’s survey, while the percentage of middle-income respondents who chose stocks or mutual funds did not change.
The results are from Gallup’s annual Economy and Finance survey, conducted April 1–14 among 1,017 U.S. adults.
Along with stocks and mutual funds, other options in the survey included real estate, bonds, gold and savings accounts or CDs, and real estate remains the most popular investment choice.
The stock market has rallied more than 25% since the March 23 low and was in rally mode during the survey period.
Thirty-five percent of Americans say real estate is the most favored long-term investment, which has been the case since 2013. Over one-third of Americans have named real estate as the top investment since 2016.