Individual Investors Brave On Despite Bubble Fears
NvidiaNvidia(US:NVDA) Investopedia·2026-02-07 01:00

Core Insights - Individual investors remain optimistic despite recent stock market volatility and selloffs in major tech stocks, with many expecting better returns ahead [1] - Geopolitical unrest has become the top concern for investors, surpassing previous worries about tariffs and inflation [3][7] - Despite fears of overvaluation in AI and big tech stocks, these assets continue to dominate individual investors' portfolios [6][7] Investor Sentiment - 40% of respondents express worry about the stock market and their portfolios, a slight increase from December [2] - Concerns about overvaluations in stocks are significant, but geopolitical issues are prioritized as the main worry [3] Investment Preferences - AI-related stocks, particularly Nvidia, are viewed as overvalued, with gold rising as a second choice for bubbly assets [4][5] - Individual investors continue to favor big tech stocks, including Tesla, Amazon, and AMD, despite recent downtrends [6] - The Nasdaq 100 is the top choice for expected performance in 2026, followed by semiconductors and the Magnificent 7 stocks [6] Market Trends - Gold prices have surged over the past year, attracting investors seeking stability, although recent volatility serves as a reminder of market risks [5] - Individual stocks remain the preferred option for investors when considering how to allocate an extra $10,000 [8]