The survey of 2,100 high-net-worth (HNW) individuals found that the majority of investors (88%) recognize significant investment opportunities in the current environment; however, the majority of that group (68%) is shying away from them because they believe the risk of further price falls is too high.
U.S. Most Optimistic
HNW investors also show inertia about changing their portfolio, according to a press release of the results. When asked about allocations to 12 different asset classes, more than half of the respondents said that they would not be making adjustments to each of the asset classes.
Investors are drawn to familiarity, with 53% saying they would only invest in what they know, the report found. The most significant portion plan to increase their allocation to real estate (25%), with government bonds (22%), and commodities (21%) the next most popular asset classes.
U.S. investors are among the most likely to increase their allocations to cash (23%), and overwhelmingly most likely to invest in domestic stocks (21%). U.S. investors are also the most optimistic, stating that there were significant investment opportunities (29%).
The survey was taken from EIU databases of individuals around the world, undertaken between March and May. Respondents in the U.S. had at least $1.5 million in investable assets
The full report is available here.