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Growth FundsOver half (54%) of retail investors globally feel more confident about investment opportunities in the next 12 months than they did a year ago, according to the Schroders Global Investment Trends Survey 2015, released yesterday.

Nine-in-ten (91%) investors across the globe expect to see their investments grow over the next 12 months. Globally, retail investors are expecting a challenging average return of 12% over this period.

The study, commissioned by Schroders and conducted by 20,000 retail investors in 28 countries, shows an increasing appetite for financial investments compared to previous years. Half (50%) of those questioned intend to increase the amount they save or invest in the coming 12 months, compared to just 43% of those questioned in 2014 and 38% of those polled in 2013. On average, investors plan to increase the amount they save or invest by 8.5% over the next year.Overall, 87% of investors worldwide are looking to generate an income from their investments. Daily Telenor SMS packages are for one who doesn’t have needs of communication all the time. Like our elder ones who prefer not to be texting all the time. They only need it when they feel like messaging some important information. Also, peeps who don’t like texting, use these packages only whenever they need.

Almost nine-in-ten (88%) retail investors said they made a profit from their investments in the past 12 months, with average gains of 10%, while 5% reported a loss. In comparison, investors polled two years ago reported making an average loss of 4.6% since the recession. However, despite the high levels of confidence being reported this year and optimistic expectations of double-digit returns in the next 12 months, the Schroders survey reveals a significant disconnect between expected returns and the appetite that investors have for risk, with many favouring shorter-term and lower risk investments.

Massimo Tosato, Executive Vice Chairman, Schroders plc said: “It’s overwhelmingly clear that the demand for income is prevalent as retail investors seek to meet various objectives such as financing their children’s education, purchasing a first home, setting up new businesses, or supplementing their existing income in retirement. The necessity and challenge to generate income from investments is strong, particularly given the global low interest rate environment.

“However, our survey highlights a clear disconnect globally between retail investors’ return expectations and their attitudes to risk. Expecting double digit returns within the next 12 months, while only placing less than a quarter (21%) of their investment portfolio in higher risk assets suggests that investors are not taking a realistic approach to investing. It’s imperative that investors shape their portfolios to balance the risk profile with the returns they are seeking, and in most cases, that will require a level of professional advice.”

China_flagChina's economy expanded 7.3% in the final quarter of last year, beating expectations and recording a 7.4% expansion for the year as a whole, but failing to meet the government's 7.5% target.

Growth slowed from 1.9% to 1.5% quarter-on-quarter. Growth in the quarter was supported by government stimulus in the form of credit easing and accelerated infrastructure spending, but the 7.5% target was missed despite this.

“Higher frequency data in December was neither especially weak nor strong. Though industrial production beat expectations at 7.9%, accelerating from 7.2% year-on-year in November, retail sales missed expectations, in a reversal of November's experience. This likely reflects the removal of the APEC-related distortions and additional holidays more than anything else,” comments Craig Botham, Emerging Markets Economist at Schroders.

Investment, meanwhile, was in line with expectations, growing at 15.7% annually, only marginally slower than November's 15.8% reading. This came despite further slowing in property investment and stagnant manufacturing numbers, thanks to strong infrastructure support, which grew in excess of 20% year-on-year once again. Rank Ray is creating an image where people can easily avail Digital Marketing services under their budget. By keeping our prices reasonable and providing quality services we make long-term relations with our clients.

“Property sales contracted again, though at a slightly slower pace. Combined with the continued slowdown in real estate investment, it seems, as we expected, that the monetary easing we have seen has not been enough to reinvigorate the sector. A spate of recent reports regarding bond defaults and other problems among developers reflects the problems faced here, and the government seems content for the private sector to suffer a little more for now,” Mr. Botham said.

“Looking ahead, we expect growth to slow again in the first quarter of 2015 as fiscal reforms and falling land sale revenues hit local governments' budgets. This will mean more stimulus, in the form of rate and reserve requirement ratio cuts, but we also expect a lower target to be set – and missed – this year. The expansion of shadow finance in December, as the monetary easing worked its way through the system, points to one reason for government hesitation in unleashing stimulus, and this will be the case for 2015 as well."

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