Australians are cooling towards investments in shares, property, super, managed funds and even their own homes, according to the March 2000 Challenger/ASSIRT Investment Sentiment Index.
Australians are cooling towards investments in shares, property, super, managed funds and even their own homes, according to the March 2000 Challenger/ASSIRT Investment Sentiment Index.
For the first time since October 1997, investor sentiment has declined – from 48 index points in November to 41 in March.
Challenger’s Phill Antman says that while the sharemarket has risen by around 10 per cent between November and March, gains have been contained to the Internet, media and telecommunications sectors.
“This,” he says, “has tended to mask an overall decline in the market with most sectors having fallen back.”
Antman expects growing speculation about further interest rate rises will add to investor caution.
“It will be interesting to see how investors respond to the opportunities presented by more attractive valuations across much of the market created by this broader market correction or whether we are witnessing a long term structural change.”
Sentiment remains high for only one investment category — and that, predictably, is cash.
