Risk appetite remains

UK investors are still hungry for risk despite significant fear of economic uncertainty in the eurozone and the possibility of a triple dip recession at home, according to a survey conducted by Unbiased.co.uk.

Risk appetite remains
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A quarter of participating IFAs said clients were currently seeking more risky investments, with just 12% remaining cautious and 5% pulling out of investments entirely.

Further, despite predicting UK growth will be “sluggish” over the next few years, over half of advisers (58%) stated the UK would be the most popular investment destination in 2013. Emerging markets and the US were cited by 42% and 33% of IFAs respectively.

The majority of advisers also believe clients would seek more (49%) or an equal level (47%) of advice in 2012 as they did in 2013. Just 3% anticipate demand for investment advice to fall in 2013.

Investor concerns

Economic uncertainty in the eurozone is the most pressing issue for investors and 25% of IFAs stated that their clients had raised concerns about the performance of their investments because of this.

Other concerns include rising UK inflation (18%), the possibility of a bubble in bond markets (10%), economic uncertainty in the US (2%) and emerging markets (1%) and the UK leaving the eurozone (1%). 

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