Morgan Stanley is a leading global financial services firm providing a wide range of investment banking, securities, wealth management and investment management services. Morgan Stanley Wealth Management, a global leader, provides access to a wide range of products and services to individuals, businesses and institutions, including brokerage and investment advisory services, financial and wealth planning, cash management and lending products and services, annuities and insurance, retirement, and trust services. Late last month, Morgan Stanley Wealth Management announced the results of its quarterly retail investor pulse survey.

Investor confidence has increased, according to the survey. Over three in five (62%) investors are bullish this quarter, up from 56% last quarter, while 66% expect markets to move higher by quarter-end compared to 55% in Q2. Concern for volatility remains pronounced, but eases slightly. Fewer investors expect volatility to rise this quarter, with 61% anticipating an increase compared to 63% last quarter. Investors stay nimble. One in three (33%) are considering portfolio allocation changes over the next six months, an 8-percentage-point rise from Q2. Pre-IPO demand heats up as 75% of investors say their interest in gaining exposure to private companies before they go public increased in the last six months. Inflation and energy cost concerns climb as inflation remains investors’ top financial concern at 52%, rising from 50% last quarter. Worries over energy costs came in second, rising to 22% from 18% and tied with market volatility at 22%.

"Morgan Stanley's Global Investment Office has noted the market is showing signs of broadening beyond its narrow tech base, which means investors are looking far and wide for new investing opportunities," according to Chris Larkin, Managing Director and Head of Trading and Investing, E*TRADE from Morgan Stanley. “So they’re not standing still. Despite persistent inflation concerns, investors remain open to shifts in market leadership and are increasingly looking beyond traditional markets.”

The survey explored investor views on sector opportunities for the third quarter of 2026. Investor conviction in tech remained strong, with 57% viewing the sector as offering the greatest potential this quarter. This was consistent quarter over quarter. Enthusiasm around AI continues to underpin the sector’s appeal. As geopolitical volatility weighs on the energy sector, investor interest in energy fell to 43% from 49% last quarter yet remained in second place. Health care remained a strong sector pick, holding steady at third place with 34% (one point lower than last quarter) and potentially reflecting investor interest in areas of the market that have historically demonstrated resilience amid volatility.

This wave of the survey was conducted from July 1 to July 20 of 2026 among an online US sample of 950 self-directed investors, investors who fully delegate investment account management to financial professionals, and investors who utilize both. The survey has a margin of error of ±3.20 percent at the 95% confidence level. It was fielded and administered by Dynata. The panel is broken into three investable assets: less than $500,000, between $500,000 and $1 million, and over $1 million. The panel is 60% male and 40% female and self-select as having moderate or beyond investing experience, with an even distribution across geographic regions, and age bands.

Morgan Stanley has been a Hacienda tenant since May 2014. It was founded in 1935, and strives to deliver first-class business in a first-class way. The firm has offices in 42 countries and serves clients worldwide including corporations, governments, institutions, and individuals.

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