But what exactly are investors choosing? Schroders Global Investor Study for 2021 revealed what UK investors are focusing on and their priorities in a post-pandemic market.
In comparison, in 2019 only 30 percent checked their investment values once a week.
Some people found themselves pleasantly surprised during lockdown as 39 percent noted that they had saved more than they had planned to.
This was driven by the inability to spend money on non-essentials such as travel and bulk impulse purchases.
Others weren’t as lucky, and 40 percent of investors said they weren’t able to save as much as they would have liked because of reduced income.
A further 36 percent noted that their savings plans were interrupted due to furlough or job losses, and both of these groups plan to save as much as possible.
The desire to save more money is strongest amongst the 18-37 age group.
Alongside this, 58 percent of British investors are planning or would like to save more once restrictions have been lifted and they are financially able to do so.
An equal 58 percent of non-retired people are planning or would like to save more specifically for retirement as a result of the pandemic.
This indicates a strong return of investor optimism, which should be good market indicators but with volatility being at an all time high, it’s no longer possible to judge this correctly.
Regardless, this confidence shows resilience of UK investors as this optimism is not shared by investors Sweden, Japan or Hong Kong.
Europe overall has a return expectation of around 9.7 percent, with UK investors looking toward 10.8 percent.
Alternatively, America seems to be the most optimistic group of investors expecting annual total returns of 12.5 percent over the next five years.
Stuart Podmore, behaviour investment insights specialist at Schroders commented on the study: “The past 18 months have taught us that the future remains difficult to predict and a measured, consistent and patient approach to investing, focused on long term objectives and probable outcomes, is likely to stand investors in better stead.”
Published at Wed, 04 Aug 2021 09:18:04 +0000