Australian investors and traders stay cautious but invested, CMC survey finds

Australian investors and traders remain nervous about markets. However, they continue to invest and trade amid uncertainty, maintaining exposure despite growing caution and concerns over mounting macro headwinds, according to a survey CMC conducted in July 2026.

Here are the key findings:

1. AI adoption is high, but a trust gap remains: Nearly half of investors and traders (48.6%) now use AI tools to support their investment decisions, although less than a third trust AI-generated market insights. 

2. The market is waiting for a catalyst: Four in ten respondents (40.4%) are neutral on the six-month market outlook, making them the largest group and outnumbering both bulls (34.1%) and bears (25.5%). 

3. Investors and traders remain unfazed by global volatility: While 56.1% have become more cautious about markets, 87.1% plan to invest the same amount or more over the next six months. 

4. Cash, not conviction, is the handbrake: When asked what is preventing them from investing more, respondents pointed at their own bank balance rather than geopolitics or volatility. A lack of available cash was the single biggest barrier to investing (53.3%), outweighing volatility (18.5%), knowledge gaps (11.7%), geopolitical tensions (10.2%) and fear of losses (6.3%) combined.

5. The rise of ETFs: ETFs were the most common way investors and traders who participated in the survey said they had added exposure in response to recent volatility. Nearly half (47.6%) increased their investment or exposure to index funds and ETFs, ahead of Australian equities (37.5%), US equities (21.0%), commodities (7.8%) and crypto (4.7%).

Fraser Allan, Head of Premium Client Management, says: "The biggest block in the market right now isn't the bulls or the bears; it's the undecided. That tells you this is a market waiting for a catalyst rather than one positioning for a direction. When that catalyst comes, whether it's rates, earnings, or geopolitics, there's a very large group of investors ready to move quickly." 

Research methodology and considerations

The CMC client survey was conducted between 29 June and 29 July 2026. Results are based on the first completed submission from 8,506 unique client IDs, comprising 8,116 CMC Invest clients and 390 CMC Markets clients. Percentages are rounded to one decimal place.

The results represent participating CMC clients and should not be interpreted as representative of all Australian investors. Past performance is not a reliable indicator of future results. Seek independent advice.               

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