Investors Favour Far East to Deliver Best Returns Over the Next Decade

LONDON, ENGLAND — (Marketwired) — 11/26/13 — Almost a quarter (24.3%) of retail fund investors believe China will outperform all other countries and economic regions over the next ten years, Share Dealing Funds Focus.

Following positive economic data from China last month which showed GDP growth of 7.8% (year-on-year) in Q3, the research found investors believe China will deliver the best returns over the next decade, with 10.8% looking to South America, 10.3% suggesting Europe, and the same amount (10.3%) favouring India.

Damian Stansfield, managing director of Halifax Share Dealing, says:

“While China confirmed its interest in the UK with the news it is looking to make a significant investment in civil nuclear projects in the UK, investors here still believe the overseas markets offer the best opportunities for growth and almost a quarter predict China will deliver the best return on investment over the next decade.

“There are a wide range of funds targeting opportunities in the Far East but, as ever, investors need to research which funds best match their investment goals.”

Over the last three years the top performing funds in the China/Greater China sector have come from Invesco and Neptune. In terms of short-term performance (one year) they are joined by Fidelity, Threadneedle, and Baillie Gifford.

Investors favour equity funds

More than one third (36.8%) of retail investors anticipate equity funds will deliver the best returns over the next year.

Just 14.6% believe balanced funds (which invest in both equities and fixed income securities) will generate the greatest returns; with even fewer investors (5.4%) predicting fixed income funds will outperform all others.

Damian Stansfield, managing director of Halifax Share Dealing, adds:

“The global financial situation – including the impact of quantitative easing – has contributed to the prolonged bond rally but investors are now forecasting equity funds will deliver the best returns over the coming year.

“Asset allocation depends on investors- attitude to risk and their individual circumstances, but over the long term a well diversified portfolio usually offers the greatest chance of positive returns.”

Contacts:
Halifax Press Team
Emma Varty
01902 325180 / 07824471951

Halifax Press Team
Lauren Jones
01422 394360 / 07825 584900

Halifax Press Team
Ben Marquand
020 7356 1838 / 07881 311199

Halifax Press Team
Shella Ali
0207 356 2014 / 07795 677754

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