Forgive the casual term, but advisors and clients alike are to be forgiven if they characterize 2026 market action as downright weird.
Four months into the year and though markets are far from excessively turbulent, sanguine isn’t an accurate adjective, either. The war in Iran, which has reignited inflation, has seen to that. Speaking of inflation, the no rate cut result of the Federal Reserve’s April meeting is likely further indication that rates will not be pared at all this year.
Yet here we are with stocks, broadly speaking, in fine form. As of April 29, the Nasdaq-100 Index (NDX) and the S&P 500 are up 7.8% and 4.6%, respectively, year-to-date and are flirting with all-time highs. Impressive stuff when considering the oil market is in a shock phase.
The above sentiments segue into that old market adage about not fighting the tape and that appears to be the perspective currently held by the bulk of advisors.
Advisors See Stocks Trending Higher
Indeed, advisors are feeling their bullish oats. The Spring 2026 InspereX Pulse Survey, which queried nearly 800 U.S. advisors, indicates respondents expect the S&P 500 will be up at least 5% at the end of this year “compared to where it traded between March 27-April 7, 2026 (a low of 6,316.91 and a high of 6,618.26).”
Here’s the official breakdown. Thirty-one percent of advisors believe the benchmark domestic equity gauge will be up 5% or more at the end of 2026 while 30% see a gain of 10% or more. Another 8% believe the S&P 500 could be higher by 15% or more by year-end while 9% see the index being unchanged. The bearish camp is populated by 21% forecasting a loss of 5% or more.
“Despite challenging market conditions in the first quarter, the majority of advisors see the potential for meaningful upside in the remainder of the year,” said Chris Mee, Managing Director at InspereX. “Market volatility once fueled anxiety between advisors and their clients. Today’s expanded toolkit that includes downside protection strategies, helps advisors position portfolios to better endure uncertainty – keeping clients more confident and calmer. It’s clear from the results that advisors continue to believe they demonstrate their value and differentiate their service during volatile markets.”
None of the above should imply advisors are expecting things will be easy over 2026’s remaining eight months. Not surprisingly, 43% of respondents to the InspereX survey said they’re concerned about geopolitical events and a third said they’re worried about overall market volatility or inflation.
Clients Hold Similar Views
Smart advisors know they’re not on missions of conversion when it comes to clients’ personal perspectives and 100% agreement is a moving target, but having some alignment is nice. Fortunately, alignment is in place today.
InspereX notes 45% of clients are pensive about geopolitical goings on and 35% are worried about broader market volatility, though just 9% are concerned about inflation.
Regarding market volatility, there’s a silver lining because when clients are worried about it, they up their engagement with advisors. Seventy-eight percent of advisors said “volatility increases client engagement and communication needs” and the same percentage said “volatility generates opportunities to demonstrate value,” according to InspereX.
Related: Growth Dominated for Years—So Why Is Value Suddenly Winning Again?