Western Canadians were the nation’s most active investors in 2009, but still overwhelmingly failed to take advantage of the market’s dramatic recovery, according to a survey released Monday by Franklin Templeton Investments Corp.
In Franklin Templeton’s latest survey of Canadian investor sentiment, conducted earlier this month by Angus Reid Public Opinion, 82% of Western Canadians report that they failed to invest in 2009. That’s still better than the rest of the country. Eighty-six per cent of Canadians surveyed in Ontario, and more than 90% in Quebec and the Atlantic provinces did not make new investments in 2009.
The S&P/TSX Composite Index soared 30.7% in value last year, its best annual return since 1979. However, only 18% of Western Canadians were aware of the dramatic gains recorded by the country’s leading stock index, four points better than the national average.
When asked about investing intentions in 2010, Western Canadians are cautious. Forty-eight per cent do not plan to make new investments or do not know what to they will do. Yet they are far more aggressive than Canadians living east of Manitoba. At least fifty-seven per cent of survey respondents in Ontario, Quebec and the Atlantic provinces are unlikely to make new investments or are uncertain what to do this year.
“Western Canadians were the country’s most opportunistic and knowledgeable investors in 2009,” says Jennifer Ball, senior vice president of Franklin Templeton Investments Corp.
“Nevertheless, the overwhelming majority did not invest last year and our survey found almost half may not return to the markets in 2010. We urge Canadians to get professional advice from a trusted investment advisor. It can make a real difference when it comes to meeting your long term financial goals.”
Despite the market’s recovery and an improving Canadian economy, the survey found investor skepticism among Western Canadians remains weak. Forty per cent of respondents describe their current investment personality as either “suspicious” or “timid,” up two points from February 2009. Meanwhile, 33% of investors described themselves as “analytical”, “opportunistic” and “risk-taking,” down one point from a year ago.
Franklin Templeton’s investment experts will be visiting the following cities in Western Canada on:
• January 25: Vancouver and Victoria
• January 26: Surrey and Kelowna
• January 27: Edmonton and Calgary
• January 28: Saskatoon and Regina
• January 29: Winnipeg
IE
Western Canadian investors cautious in 2010
But they are still more optimistic than their Eastern cousins: survey
- By: IE Staff
- January 25, 2010 January 25, 2010
- 14:08