The general public still favour property over the stock market when investing, according to the latest investor confidence research from the Association of Investment Trust Companies (AITC).
Nearly 40% of the general public expected the housing market to outperform equities this year, up from 30% in the autumn of last year, demonstrating a renewed sense of optimism following reports of an upturn in property prices.
This optimism was shared by 12% of active investors, more than double the 5% who backed the housing market in November, suggesting that while most active investors backed equities, they were not immune to the reports about the property market.
However, the majority of active investors (55%) were still confident equities would produce better returns than property this year, and 54% would be increasing their holdings as a result – a significant increase on the 44% who intended to increase their holdings in the autumn.
Annabel Brodie-Smith, communications director at the AITC, commented: “It is clear reports of an upturn in the housing market have revived public confidence in property this year despite some doubts about the strength of the recovery.”
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