POWERED BY MOMENTUM MEDIA
Investors gloomy on youngsters’ prospects
Most Australian investors believe their younger counterparts face a tougher road ahead than them when it comes to their investments, a survey has revealed.
The Legg Mason's 2014 Global Investment Survey showed investors were especially worried about the long-term future of investment.
The survey, which looked at the attitudes of 4200 investors in 20 key markets, found 70 per cent of Australian respondents thought the investment outlook would worsen for future generations.
Only 45 per cent thought the younger generation were doing well at saving for retirement.
"Low interest rates and rising property prices are impacting the ability of their younger family and friends to get on the investment ladder, and they are searching for new opportunities to generate the income they need," Legg Mason's global head of distribution marketing Matt Schiffman said.
The survey also found a "reality gap" between the returns investors expect to get and what they actually get.
While investors expect an average 9.2 per cent annual return, they were actually getting a 6.2 per cent return, a gap of 3 per cent.
The reality gap was most evident in property investment, yielding an average of 3 per cent, well below the expected 9.2 per cent.
"We found returns were closer in line with expectations for asset classes like equity income and guaranteed income products, which were less popular with Australian investors."
Recommended for you
In this latest edition, Anna Shelley, CIO at AMP, shares the fund’s approach to current market conditions and where it continues to uncover key opportunities.
The mega fund has announced a $2.2 billion investment in a leading data centre platform, bringing its global real assets portfolio to nearly $60 billion.
In this latest edition, Australian Retirement Trust’s head of global real assets Michael Weaver explains the fund’s approach to finding new opportunities as it surpasses $300 billion in funds under management.
Fund managers remain hopeful for a Chinese revival story despite the “disappointing” stimulus package announced this week.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
61.07 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
59.21 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.56 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.06 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
26.81 3 y p.a(%)
