Sun Life Global Investments survey finds
younger investors hesitant to take on risk
TORONTO, July 14, 2016 /CNW/ - The ups and downs of
the markets may have proven to be too much of a roller coaster ride
for many young investors. Market Volatility Makes a
Difference, the 2016 Market Sentiment Report launched today by
Sun Life Global Investments, reveals more than half (51 per cent)
of Millennials between the ages of 18 and 30 would rather
experience less volatility even if it means passing on
opportunities to earn higher rates of return.
The report also found:
- 44 per cent of Millennials classified themselves as somewhat or
highly risk averse;
- 44 per cent described their investment approach as
conservative; and
- 33 per cent of Millennials sold their investments to raise
cash, with half saying fear of losing money was the trigger.
"Investors are feeling the negative effects of recent market
turbulence, but none as much as the Millennials, which is
surprising," said Sadiq S. Adatia,
Chief Investment Officer, Sun Life Global Investments. "They could
potentially be putting their retirement savings in jeopardy by
investing so conservatively. These are investors with a long time
horizon who should consider taking on more risk for the potential
to earn higher returns ̶ there are solutions that can
help."
Forty-eight per cent of Millennials said recent market
volatility has led them to have more frequent conversations with
their financial advisors – more than any other age group.
When asked what the most valuable piece of advice they received
from their advisors, investors overall pointed to staying the
course at 42 per cent. This is in line with the 43 per cent of
advisors who said this was the most valuable advice they shared
with clients.
"It's encouraging to hear that as Millennials were anxious about
the markets they turned to their financial advisors for guidance,"
said Cindy Crean, Managing Director,
Private Client, Sun Life Global Investments. "It's important
they don't let emotions guide their investing decisions."
For more information about the 2016 Market Sentiment Report,
Market Volatility Makes a Difference, please visit
www.findthebrightside.ca.
About Sun Life Global Investments (Canada) Inc.
Sun Life Global Investments offers Canadians a diverse lineup of
mutual funds and innovative portfolio solutions, empowering them to
pursue their financial goals at every life stage. We bring together
the strength of one of Canada's
most trusted names in financial services with some of the best
asset managers from around the world to deliver a truly global
investment platform. Sun Life Global Investments manages more than
$13 billion on behalf of
institutional and retail investors from coast to coast and is a
member of the Sun Life Financial group of companies. For more
information, visit www.sunlifeglobalinvestments.com or connect with
us on Twitter @SLGI_Canada.
About Sun Life Financial
Sun Life Financial is a leading international financial services
organization providing a diverse range of protection and wealth
products and services to individuals and corporate customers. Sun
Life Financial has operations in a number of markets worldwide,
including Canada, the United States, the United Kingdom, Ireland, Hong
Kong, the Philippines,
Japan, Indonesia, India, China,
Australia, Singapore, Vietnam, Malaysia and Bermuda. As of March
31, 2016, the Sun Life Financial group of companies had
total assets under management of $861
billion. For more information please visit
www.sunlife.com.
Sun Life Financial Inc. trades on the Toronto (TSX), New
York (NYSE) and Philippine (PSE) stock exchanges under the
ticker symbol SLF.
Note to Editors: All figures in Canadian dollars.
Commissions, trailing commissions, management fees and expenses
all may be associated with mutual fund investments. Please read the
prospectus before investing. Mutual funds are not guaranteed, their
values change frequently and past performance may not be
repeated.
About the Market Sentiment Report
Investor survey:
The online survey was conducted between
March 14 and April 1, 2016. A sample of 521 Canadians from
18 to 80 years of age with a minimum of $25K in investable assets was drawn from the
Ipsos I-Say online panel.
The precision of Ipsos online surveys is measured using a
credibility interval. In this case, the survey is accurate to
within +/-4.3% at 95% confidence level had all Canadian adults been
polled. All sample surveys and polls may be subject to other
sources of error, including, but not limited to methodological
change, coverage error and measurement error.
Advisor survey:
The telephone survey was conducted between
March 14 and April 1, 2016. A sample of 500 financial
advisors was drawn from the PMG Intelligence list of 27,000
financial advisors who have agreed to receive third-party
communication.
The precision of telephone surveys is measured using a
credibility interval. In this case, the survey is accurate to
within +/-4.3% at 95% confidence level had all Canadian financial
advisors been polled. All sample surveys and polls may be subject
to other sources of error, including, but not limited to
methodological change, coverage error and measurement error.
For further information:
Kim Armstrong
Sun Life Financial
416-979-6207
kim.armstrong@sunlife.com
SOURCE Sun Life Global Investments (Canada) Inc.