Over half of investors see falling portfolio value, Halifax
New research suggests most investors expect the FTSE to remain at its current level between now and the end of the year.
Some 55 per cent of investors saw the value of their investment portfolio fall in the first half of the year, compared to 10 per cent who benefited from a rise, data from Halifax‘s Share Dealing Market tracker have revealed.
Over the second half of the year, 32 per cent of investors expect the FTSE to rise, just above the 29 per cent who are expecting a fall.
The remaining 39 per cent believe that the FTSE will remain at its current level between now and the end of 2012. Just 16 per cent think that the FTSE will be lower than today’s levels in one year.
Two thirds of investors also told Halifax Share Dealing they had adapted their investment strategy in light of the situation in the eurozone.
Although 40 per cent of investors say they have taken this opportunity to purchase more shares, compared to the 9 per cent who have sold more, 69 per cent say that the situation has encouraged them to hold on to their shares to see what happens.
Investments in the energy and financial services sectors continue to dominate investor portfolios according to June’s survey.
Although a third of investors still have holdings in technology, twice as many are putting their money in energy and banking.
However, investors demonstrated a variety of views for the prospects of these sectors, with a third of those with financial services shares expecting to invest further within the next six months.
Damian Stansfield, managing director at Halifax Share Dealing said: “Looking back on the first half of the year, it appears that few investors have made decent returns on their portfolios.
“That said, it’s encouraging to see that although they believe the shorter term prospects may be mixed, the majority expect an uplift towards the end of the year and into 2013. It’s very interesting to see that so many have seen the eurozone situation as an opportunity to increase their holdings.”