Tags: uk | stocks

British Investors Plunge Back Into Equities

By Julie Crawshaw   |   Monday, 22 Jun 2009 10:03 AM

British retail investors are plunging back into equities at a rate not seen for two years, according to figures from Capita Registrars, which provides share registration and value-added services to more than 2,000 companies in the U.K.

“Retail investors are investing in recovery,” Capita’s operations Michael Kempe told The Financial Times, adding that purchases of cyclical stocks outpaced those of defensive stocks by four to one.

“Not only have they put more money back into shares, but they’re targeting riskier investments too, beginning to rebalance their portfolios back towards growth following two years of risk aversion.”

Capita’s figures show that more than half the interest in cyclical shares in recent months has been in the commodities sector.

Over the two months to the end of May, the FTSE All-Share index rose 12.5 per cent, but the value of private investor holding was up 15 per cent.

British investors can now enjoy the lowest ever costs for fund investing, following the launch of 11 index-tracking funds from U.S. low-cost manager Vanguard.

The UK Vanguard index funds will charge a 0.5 per cent purchase fee to cover stamp duty, and Vanguard’s Pacific, emerging market and bond index trackers will initially carry fees to cover start-up dealing costs.

“This should provide some really good competition among index funds and active funds,” financial planner Jason Butler told The Financial Times.

“It will really shake up the actual costs of passive investing.”

© 2017 Newsmax. All rights reserved.

1Like our page
2Share
StreetTalk
British retail investors are plunging back into equities at a rate not seen for two years, according to figures from Capita Registrars, which provides share registration and value-added services to more than 2,000 companies in the U.K.“Retail investors are investing in...
uk,stocks
237
2009-03-22
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved