The Investor Attitudes report by Friends Provident International (FPI) showed a five-point increase to 17 in the Friends Investor Attitudes Index for Singapore since the last survey in Q1. This came after two waves of decline.
Furthermore, 42 per cent of respondents predicted improvements in investment markets in six months, up from 30 per cent in Q1. According to Chris Gill, general manager for FPI in South-east Asia, the rise in confidence is likely to be due to the strong GDP growth in Singapore last month and decreased anxiety over the eurozone crisis.
However, Mr Gill noted that the survey had to be taken into context as it was conducted from April 23 to May 7, 2012, before market jitters over the Greek elections and the negative news on Spanish banks.
Nevertheless, the increase in investor confidence is seen by a rebound in equities/shares, currency markets and property since their decline last year. Gold and cash, which have been the preferred asset classes since last year, remained so at 31 and 30 per cent respectively.
Source: The Business Times
