Equity markets were red hot in 2009 but Atlantic Canadians remain frozen in action and unaware of the market’s dramatic recovery, according to a new survey released Wednesday by Franklin Templeton Investments Corp.

In Franklin Templeton’s latest survey of Canadian investor sentiment, conducted in January by Angus Reid Public Opinion, 69% of Atlantic Canadians were frozen in action last year or unsure of what to do when it came to investing. That’s significantly frostier than the rest of the country. In Ontario, 51% of Canadians were frozen or uncertain last year and in Quebec, 55% did not know what to do or froze.

Eighty-five per cent of Atlantic Canadians surveyed were unaware of the dramatic gains recorded by the S&P/TSX Composite Index, the country’s leading stock index. The S&P/TSX Composite Index was up 30.7% in value last year, its best annual return since 1979.

“Atlantic Canadians were in a cautious mood last year with only nine per cent making new investments,” says James Cook, executive vice president of Franklin Templeton Investments Corp. “Our survey indicates few may change their ways in 2010. When asked about investing intentions this year, 65% of Atlantic Canadians do not plan to make new investments or do not know what they will do.”

Despite the market’s recovery and an improving Canadian economy, the survey found a dramatic increase in investor skepticism among Atlantic Canadians. Thirty-eight% of respondents describe their current investment personality as either “suspicious” or “timid,” up fourteen points from February 2009. Meanwhile, only 18% of respondents described themselves as “analytical,” “opportunistic” and “risk-taking,” compared to 33% a year ago.

“Across Atlantic Canada, investor skepticism is on the rise and confidence in the markets is dropping significantly,” says Cook. “Atlantic Canadians should consider getting professional advice from a trusted investment advisor. This can help boost confidence and make a real difference when it comes to meeting long term financial goals.”

Franklin Templeton’s investment experts are currently touring Canada speaking to investment advisors about strategies and solutions for 2010. On February 3, the team will be in Halifax and on February 4 will visit Moncton and Fredericton.

On January 4 and 5, Angus Reid Public Opinion conducted an online survey among a randomly selected, representative sample of 1,019 adult Canadians. The margin of error for the total sample is +/- 3.1%, 19 times out of 20.

IE