The study, which surveyed 10,000 retail investors across 12 countries, found that 59% predict the bull market will persist. Confidence in AI stocks also remains high, with 11% expecting them to rise significantly in 2025, whilst 44% expect more gradual increases in their share prices.
Romanian investors are more optimistic than the global average, with 76% believing the current bull market will continue next year. AI remains an interesting theme, 58% of Romanian investors consider that the stock prices of the companies in this field will continue to rise, with 12% seeing the rise as a significant one, while 46% believe that the increase will be more gradual.
Tesla tops ‘Magnificent 7' stocks for 2025
When asked which of the 'Magnificent 7' stocks they are most likely to increase their investment in for 2025, retail investors ranked Tesla first, with 14% selecting the EV giant, which has enjoyed a share price boost since the US election.
Apple and Amazon followed closely, both chosen by 12%, while Nvidia (9%), Alphabet (8%), Microsoft (8%), and Meta (6%) rounded out the list. When asked how they believe the Magnificent 7 will perform as a whole in 2025, retail investors were slightly more measured, with 13% tipping them to significantly outperform the market, and 35% believing they will only slightly outperform.
The data also highlighted gender differences, with women more likely to increase their investments in Apple and Amazon in 2025, while men favored Tesla.
When asked in which of the 'Magnificent 7' companies is likely to increase their investment in 2025 Romanian retail investors (21%) ranked Tesla first. Apple and Nvidia followed, while Meta, Alphabet and Microsoft were close behind. Amazon is the least favored, with only 4% of investors willing to increase their holdings in its stock. When asked how they believe the “Magnificent 7” will perform together in 2025, half of the Romanian retail investors considered the group of companies will outperform, with 15% considering they will do significantly better, while 35% believe they will only slightly outperform.
The data showed that women are more likely to increase their investments in Apple (18%) and to a lesser extent in Tesla (16%) men are favoring the EV giant (21%) and Nvidia (17%) in 2025. For women, Nvidia ranked last, with only 4% of investors looking for an increase in positions.
Commenting on the data, eToro analyst Bogdan Maioreanu said: "Retail investors are entering 2025 with a strong sense of optimism, buoyed by the ongoing bull market and the outstanding performance of AI stocks. Romanian investors are even more optimistic than the global average. Tesla's top spot amongst the Magnificent 7 reflects not only confidence in its innovation but also the impact of Elon Musk's vocal support for Donald Trump and the stock's surge since the election.
“Whilst extremely high retail investor sentiment can often be a signal for a pullback, we've also seen markets historically perform well when a new president enters the White House, so you can't blame investors for feeling positive,” Maioreanu added.
US election sparks strategic shifts
The re-election of Donald Trump has prompted significant adjustments in retail investors' portfolios globally, with 51% (including 48% of Romanian investors) adapting their strategies in response. Of those planning changes, 68% are increasing their allocation to crypto, a more popular option than US stocks (51%). Additionally, 45% of retail investors plan to increase their cash holdings.
Bogdan Maioreanu adds: "The re-election of Donald Trump has introduced a new dynamic for retail investors globally and locally, with many taking a proactive approach to portfolio adjustments. The sharp increase in crypto allocations reflects growing confidence in the asset class, bolstered by Trump's pro-crypto rhetoric. At the same time, the decision by some to increase cash holdings, akin to Warren Buffett's recent move, highlights a balanced approach to managing potential risks in a changing macroeconomic and policy environment."
