Schroders Global Investor Study 2021
Schroders Global Investor Study 2021
July 21, 2021 – New York, NY – The 2021 Schroders Global Investor Study found that despite the pandemic-induced market disruption, investors expect high levels of income and investment returns, especially as the importance of savings and financial wellbeing emerge as lasting legacies of the pandemic.
The flagship study, which surveyed over 23,000 people from 32 locations globally, found that the Americas are the most optimistic regions when looking at investment return expectations for the next five years, with an annual total return expectation of 12.5%.
Despite the challenges brought by the pandemic, investor confidence has soared to its highest level since the study began in 2016, contradicting last year’s survey data that found 67% of people anticipated that lower returns over the next year were likely imminent.
Financial wellness has become increasingly top-of-mind, with 76% of U.S. respondents agreeing that since the COVID-19 outbreak, they have spent more time thinking about their financial wellbeing and reorganizing their personal finances. The importance of personal savings will remain a priority post-pandemic, as nearly half of respondents (46%) plan to save more.
Over the course of 2020, 90% of U.S. respondents either met or exceeded their savings goals, due to factors including increased salary, change in personal circumstance, and less spending on non-essentials. However, there is significant variability across different regions in North America, more specifically in Canada (75%) and Mexico (60%) where respondents weren’t able to save as much as they had planned.
Once all lockdown restrictions have been lifted, the majority of U.S. respondents (54%) plan to increase their purchases, having managed to save more than planned. American respondents came out on top, as only 17% of Japanese respondents plan to spend more once lockdowns lift. Overall, global survey results show that we can expect to see higher rates of saving in the immediate future.
Post-pandemic priority purchases include investing in property, luxury purchases such as holidays, vehicles, special occasions, and events, and gifting to charities. The majority of U.S. respondents (52%) are eager to focus their spending on luxury purchases.
Tiffani Potesta, Chief Strategy Officer at Schroders North America said:
“Now more than ever, financial wellness and stability have become integral to our overall wellbeing and success, and this is clearly exhibited through the results of this year’s survey. During a time when it felt as though nothing was in our control, many people zeroed in on their personal finances and took charge of their savings goals. As financial stewards, we are excited to see this trend, and it strengthens our confidence with investor resiliency as we enter this new phase. We’re seeing a light at the end of the tunnel and are optimistic about the future.”
To find out more about Schroders Global Investor Study 2021 and read the full report, please click here.
For further information, please contact:
Morgan Cozatchy: email@example.com, 646-818-9273
Note to Editors
In March 2021, Schroders commissioned an independent online survey of over 23,000 people who invest from 32 locations around the globe. This spanned countries across Europe, Asia, the Americas and more. This research defines people as those who will be investing at least €10,000 (or the equivalent) in the next 12 months and who have made changes to their investments within the last 10 years. Due to this threshold, Schroders acknowledges that this group and therefore the research findings are not representative of everyone’s experience of the pandemic.
Note: Figures in this document may not add up to 100 per cent due to rounding and multi-select options.
As a global investment manager, we actively and responsibly manage investments for a wide range of institutions and individuals, to help them meet their financial goals and prepare for the future. The world is forever changing, and with our clients at the center of everything we do, we understand the need to continue to adapt and evolve our business in line with what matters most to our clients today, and in the future.
Our ongoing success is built on a history of experience and expertise, whereby we partner with our clients to construct innovative products and solutions across our five business areas consisting of Private Assets & Alternatives, Solutions, Mutual Funds, Institutional and Wealth Management, and invest in a wide range of assets and geographies. By combining our commitment to active management and focusing on sustainability, our strategic capabilities are designed to deliver positive outcomes for our clients.
We are responsible for $785.1 billion* assets of our clients, managed locally by 42 investment teams worldwide. As a global business with over 5,500 talented staff across 35 locations, we are able to stay close to our clients and understand their needs. We have over 200 years of experience in investment and innovation and remain committed to creating a better future by investing responsibly for our clients.
Further information about Schroders can be found at www.schroders.com/us.
All investments involve risk, including the loss of principal. Diversification cannot ensure profits or abate all risk. The views and opinions stated are those of the individuals quoted and are subject to change. This document does not purport to provide investment advice and the information contained is for informational purposes and not to engage in any trading activities. The material is not intended to provide, and should not be relied on for accounting, legal or tax advice, or investment recommendations. Schroder Investment Management North America Inc. (“SIMNA”) is an SEC registered investment adviser providing asset management products and services to clients in the US and Canada. Schroder Fund Advisors LLC (“SFA”) is a wholly-owned subsidiary of SIMNA Inc. and is registered as a limited purpose broker-dealer with FINRA and markets certain investment vehicles for which SIMNA Inc. is an investment adviser. SIMNA Inc. and SFA are indirect wholly-owned subsidiaries of Schroders plc, a UK public company with shares listed on the London Stock Exchange. Further information about Schroders can be found at www.schroders.com/us or by calling (212) 641-3800.
*as of December 31, 2020
The views and opinions contained herein are those of Schroders’ investment teams and/or Economics Group, and do not necessarily represent Schroder Investment Management North America Inc.’s house views. These views are subject to change. This information is intended to be for information purposes only and it is not intended as promotional material in any respect.