Private investors now feel better off financially than at any other point this year, but they are unenthusiastic about the future.

In its monthly poll of affluent investors, Citigroup Smith Barney found that the number of respondents who say they are better today financially compared to 12 months ago is at its highest point this year. The majority of investors continue to be optimistic over the nation’s investment climate, with two out of three believing that now is a good time to invest in stocks. Nearly three-quarters, meanwhile, believe their investment portfolio will meet or exceed their expectations over the next six months.

Private investors, however, show a steady increase in pessimism. The percentage of those with more than $1 million in assets who feel that their economic fortunes will be better in six months fell 10 percentage points in May to 61 percent. Overall, one in four currently holds a negative view of the economy, and only 31 percent foresee an improvement in the investment climate 12 months from now. They cite rising interest rates and inflation as their chief concerns.

The survey also found that most affluent investors think corporate executive compensation packages are too high. Although the SEC has regulations in place regarding compensation disclosures, survey respondents believe the government is not doing enough to regulate high salaries. They say excessive compensation is not always justified by company performance.

—Tim Chan