You are here: Home - Saving & Banking - News -

Investors fail to tackle asset allocation

Written by:

Almost half of investors (42%) are completely unaware of the asset allocation of their investment portfolio, research from Fidelity International has shown.

A survey by the mutual fund manager showed many investors do not know exactly how their savings are divided between equities, bonds, cash and property, despite nearly one in five (18%) having over £50,000 of their savings in investment funds and share-based accounts.

More than a third of all investors surveyed (35%) were also unsure of what proportion they should ideally have invested in each asset class. However, the research did show that investors aged between 18 and 29 are the most likely to lean towards cash as the core holding in their overall investment portfolio.

Doug Naismith, managing director of European personal investments at Fidelity International, said: “Our research clearly shows that while some people have got the balance broadly right, for many investors it is a case of guesswork when it comes to constructing a diversified portfolio.

“Younger investors seem to believe a large amount of their savings should be in cash, when in fact your twenties should be the time to concentrate on investing for growth while you still have plenty of time, and your overall investment goals are likely to be longer term.”


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co... Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
Fund managers take opposing views on market

Two of the City of London’s star fund managers have expressed dramatically different views on the recent stock market declines.