UK Investors 'Batten Down the Hatches'

by Peter Wakeford
Posted by Hannah on 16 December 2008
UK Investors 'Batten Down the Hatches'

A report says that around nine in ten people still hold shares - and that some investment products have increased in popularity over the past year.

Despite the recent volatility on the equities markets, Britons are generally holding steady with their share portfolios, TD Waterhouse has found.

In the firm's new Investor Confidence Index, 86 percent of poll respondents said that they remained shareholders. This is despite the global markets losing roughly 50 percent of their value due to the credit crunch.

Elsewhere in the report, however, there was evidence that some nervous investors are looking to put their assets into "safer" financial products in order to protect themselves against the volatility. For example, 35 percent told TD Waterhouse that they held gilts - government bonds - up from 19 percent in 2007.

Self Invested Personal Pension holdings were more popular, with 17 percent of poll respondents holding one over ten percent last year. Stocks and share ISAs had increased in usage from 48 to 58 percent.

Angus Rigby, chief executive of TD Waterhouse UK, said: "It is encouraging to see that retail investors in the UK are prepared to batten down the hatches and weather the current economic storm. The results of this year's Investor Confidence Index show that a significant number of investors in the UK still see stocks and shares as a good place to put their money."

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John Bamford
on 16 Dec 2008 11:49
We need to "talk up" the economy even though we know otherwise. Confidence and Trust have gone in the Major Banks but I am sure that there has got to be some smaller but more open and honest ones about! Is it not ironic that Northern Rock was the first bank to show problems when some stupid (in my opinion)people drew their money out. If the media hadn't told us that N.R had gone to the Bank Of England for help, the panick attack could have been averted! Truth is that thankfully more people are investing in the Irish Banks AND NORTHERN ROCK AGAIN!!