Almost all Canadians feel anxiety when they think about their investments, and about half say they are concerned about incurring financial losses.
In a poll conducted for BMO Investorline, 97% of those surveyed say they feel some level of anxiety when they think about their investments. The survey asked more than 1000 Canadian investors what caused them distress (they could give more than one answer): 47% were nervous about incurring losses, 40% were worried they were not receiving a ‘good’ return on their investments, 33% were concerned about how market volatility would affect their investments, and 32% were anxious about selecting the ‘right’ kind of investments.
The BMO study also found that 90% of respondents were "generally confused" about investing: 38% said that they were uncertain about how to find an investment that would yield the best return with minimal risk, 25% said they were not sure what kinds of investments were best suited to their risk tolerance and stage of life, and 23% didn't know when they should change their investment risk.
“Given recent market volatility, fear of financial loss is an understandable concern,” comments Julie Barker-Merz, president, BMO InvestorLine. “The confusion that exists among 90% of Canadian investors likely contributes to their investment anxiety.”