In the spirit of Halloween, BMO InvestorLine Monday released the results of a new study revealing that over half of Canadian investors (53%) are concerned that economic troubles in the U.S. and Europe will spread to Canada.
The study conducted by Leger Marketing also found a concern among one-third (31%) of Canadians that there is no end in sight to the market volatility experienced in the last six months.
However, despite the recent fears, there is a bright side. News from Europe this week that a deal has been reached to stabilize the economy is providing optimism for investors.
“Overall, last night’s agreement is a big step forward for Europe,” said Benjamin Reitzes, senior economist, BMO Capital Markets, noting that financial markets are surging in response. “If there are no speed bumps – such as unexpected flare ups – over the next few months, this plan could be sufficient to contain the European crisis.”
The study also showed the majority of Canadian investors feel their investments have been performing up to expectations this year, with only 24% stating that they fear their investments have not.
As well, 69% of investors are paying close attention to their investments throughout the year.
The online survey was conducted by Leger Marketing from October 17 – October 20, with 1508 Canadian adults.