Advised investors more confident investors
Advised investors are more bullish in investing offshore and hold more stable views towards global investment compared to non-advised investors.
That was the finding from February’s Certitude Global Investing Intentions Index (CGIII) Report by Investment Trends.
The report showed non-advised investors’ net demand for international assets plummeted from 187 in November to a current low of 131 in just three months. The figure for advised investors, however, remained steady at 167 in February.
“This month’s results highlight a trend we’ve seen that investors with a financial adviser have steadier intentions when it comes to investing overseas than non-advised investors,” CEO of Certitude Global Investments Craig Mowll said.
“This may suggest that advised clients are making more long-term considered decisions rather than having 'knee-jerk’ reactions to market movements.”
Investors cited exchange rate volatility as the main concern for investing offshore (23 per cent), while 21 per cent cited market volatility and 21 per cent cited lack of knowledge.
Mowll said investors feared loss of capital, uncertain markets and conflicting forecasts for market performance while investing.
“It is unsurprising then that adviser-led investors feel more positively about global investment opportunities than others and remain more stable in their intentions,” he said.
“They have the benefit of an adviser’s insight and experience of market cycles to manage volatile times.”
Overall net demand for global investments fell 15 per cent to 154 from a high in January. But a large proportion of Australian investors still understand the need to increase their global diversification, with 39 per cent saying they need more international investment in their portfolio.
Recommended for you
With Q1 of the 2025 calendar year coming to a close, the Australian funds management industry has seen a range of major appointments and departures.
Nearly half of wealth managers across the globe say offering access to private market funds is integral to their growth plans, Natixis Investment Managers has uncovered.
Boutique fund manager and responsible investment specialist Pella Funds Management has expanded its offering by allowing direct access to investors in New Zealand for the first time.
The global alternative asset manager has welcomed an experienced distribution lead to its leadership team.
