TD Ameritrade's IMX Vs. S&P 500. (Graphic: TD Ameritrade)

TD Ameritrade, Inc. (“TD Ameritrade”), a broker-dealer subsidiary of TD Ameritrade Holding Corporation (NYSE: AMTD), is today revealing the Investor Movement Index SM reading for September 2013. The Investor Movement Index, or the IMX SM, is a proprietary, behavior-based index created by TD Ameritrade that aggregates Main Street investor positions and activity to measure what investors are actually doing and how they are positioned in the markets.

The September 2013 Investor Movement Index for the four weeks ending September 27, 2013, reveals:
  • Reading: 4.97 (compared to 5.16 in August)
  • Trend direction: Negative
  • Trend length: 1 month
  • Score relative to historic ranges: Moderately high

September’s IMX reading marks a negative change in direction after a positive increase in August. Clients dialed back equity market exposure in September. Over the last few months investors have continued a pattern of advancing exposure on market dips and rolling back exposure when equity markets reached record levels. Clients seemed to anticipate a rally and built up positions in August. As the S&P 500 traded at record levels in September, clients reduced their equity exposure and were net sellers of equities. The September IMX remains moderately high compared to its historical range as portfolios were bullishly positioned overall, but the recent drop in the IMX indicates that client portfolios are less aggressively positioned. Clients may be anticipating a pullback in the equity markets. Like the last couple months, clients were net sellers of fixed income mutual funds and fixed income ETFs.

“Once again it seems our clients anticipated market moves and repositioned their equity market exposure accordingly,” said Nicole Sherrod, managing director of TD Ameritrade’s Trader Group. “In particular, as Apple’s (AAPL) stock price was volatile in September TD Ameritrade clients were net buyers and accumulated the name. Facebook (FB) continues to be favored by our clients and they added to their positions as the stock rallied to new highs.”

The IMX value is calculated based on a complex proprietary formula. Each month, TD Ameritrade pulls a sample from its client base of 6 million funded accounts that includes all accounts that completed a trade in the past two months. The holdings and positions of this statistically significant sample are evaluated to calculate individual scores, and the median of those scores represents the monthly IMX.

For more information on the Investor Movement Index, including historical IMX data going back to December 2010, to view the full report from September 2013, or to sign up for future IMX news alerts, please visit www.tdameritrade.com/IMX. Additionally, TD Ameritrade clients can chart the IMX using the symbol $IMX in either the thinkorswim or TD Ameritrade Mobile Trader platforms.

Past performance of a security, strategy or index is no guarantee of future results or investment success.

Historical data should not be used alone when making investment decisions. Please consult other sources of information and consider your individual financial position and goals before making an independent investment decision. The IMX is not a tradable index. The IMX should not be used as an indicator or predictor of future client trading volume or financial performance for TD Ameritrade.

For the latest TD Ameritrade news and information, follow the Company on Twitter, @TDAmeritradePR.

AMTD-G

About TD Ameritrade Holding CorporationMillions of investors and independent registered investment advisors (RIAs) have turned to TD Ameritrade’s (NYSE:AMTD) technology, people and education to help make investing and trading easier to understand and do. Online or over the phone. In a branch or with an independent RIA. First-timer or sophisticated trader. Our clients want to take control, and we help them decide how — bringing Wall Street to Main Street for more than 37 years. An official sponsor of the 2014 and 2016 U.S. Olympic and Paralympic Teams, TD Ameritrade has time and again been recognized as a leader in investment services. Please visit TD Ameritrade’s newsroom or www.amtd.com for more information.

Brokerage services provided by TD Ameritrade, Inc., member FINRA ( www.FINRA.org)/SIPC ( www.SIPC.org)/NFA ( www.nfa.futures.org)

Copyright Business Wire 2010

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