Broadridge(BR) Prnewswire·2025-03-11 11:00Core Insights - Broadridge Financial Solutions has launched an interactive tool called Investor Pulse, providing insights into U.S. individual investor habits and rates of return [1][2] - The tool analyzes nearly 50 million U.S. investors' taxable and IRA accounts, serving as a definitive source for retail investment behavior [2][6] - The introduction of personal rates of return allows for detailed segmentation of investment performance by demographics, enhancing decision-making for financial professionals [3][4] Investment Performance - The personal rate of return for main street investors in 2024 was 13.5%, compared to 25% for the S&P 500 and 1.3% for the Bloomberg Aggregate Bond Index [6] - In Q4 2024, the median rate of return for all retail investors was 0.7%, while the S&P 500 returned 2.4% and the Bloomberg Aggregate Bond Index returned -3.1% [7] - Active mutual fund owners underperformed, with less than 10% of their portfolios in individual stocks [7] Demographic Insights - Male investors achieved higher personal rates of return at 1.0% compared to 0.4% for female investors, attributed to higher equity allocations [7] - Educational level did not impact rates of return, with all educational segments returning 0.7% [7] - Younger generations, particularly Gen-Z and Millennials, are increasingly utilizing self-directed investment platforms [9][10] DIY Investing Trends - In 2024, 24.1% of all assets were invested via self-directed platforms, indicating a shift from advisory channels to online brokerage [9] - Midwest investors showed the least reliance on DIY investing, with only 19.4% of assets in online brokerage compared to 23%-26% in other regions [11] - Men hold a greater share of assets in both advice and DIY channels, with 54% in advice channels and 61% in DIY [12][13] Methodology - The study utilized de-identified share ownership data from tens of millions of retail investor households, analyzing various investment vehicles over multiple years [14]