Most investors expressed concern about impact on their portfolios
Recent market volatility had more than seven in ten investors in British Columbia concerned about the impact on their investments, according to new research from the provincial securities regulator.
Three quarters of respondents to the BC Securities Commission survey said they were closely following changes in the investment markets resulting from the twists and turns in US trade policy, such as checking the value of their investments more regularly or following the news about markets and the economy more closely.
Four in ten said they were monitoring more closely that they would usually do. Those who paid the most attention were most likely to express concern.
Around one third of those who took part in the poll had made adjustments due to their concerns about market volatility, including speaking with their advisor (20%), making changes to their investment strategy (13%), or making changes to their financial plan (9%).
The report found that a quarter said they had bought or sold assets that had changed in value, or that they suspected would. Advised-only investors were more likely to be concerned (79%) than those who are self-directed (71%).
Younger (aged 18-34) investors, self-directed investors, and those with less than $100K in investable assets were more likely to sell.
However, 34% of respondents had done none of the above.
"Anxiety can lead us to make changes and decisions based on short-term factors that can have long-term consequences on our financial futures," said Pamela McDonald, the BCSC's Director, Communications & Education. "Investors, when confronted by economic instability, should focus on good investing habits, and do a 'check-in' on their short- and long-term goals, so they can make sound decisions."
