Over 90% of investors will not sell equities investments despite market conditions

An F&C Asset Management (F&C) recent survey found over 90% of private investors will not sell their equities investments despite the recent turmoil in market conditions.

In fact, 60% of investors feel that this is a good time to invest in equities, compared with only 8% who feel it is a bad time.

The remaining 32% ‘don’t know’ whether it’s a good or bad time to invest in equities.

In terms of where respondents would invest, 30% chose the UK.

Head of investment trusts at F&C, Mike Woodward, said ‘The message that investors are not giving up on the markets is borne out by our investment trust repurchase figures. Latest figures for the first quarter of 2009 show that redemptions are down significantly: by 56% compared with Q1 2008 and 77% compared with Q1 2007.’

He added ‘We know the past couple of years have not been easy for equity investors, but it is encouraging that they seem to be keeping faith with the long-term benefits of investing in shares.’

The survey also found respondents fairly optimistic about the future.

Whilst only 11% were bulish enough to predict that the global economy and stockmarkets will recover within the next year, 87% predict a recovery within the next five years.

F&C is an asset management group which is listed on the London Stock Exchange.