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40% of investors believe they can capitalise on current buying opportunities
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38% of investors are waiting to see how markets react before making any investment decisions
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32% believe developed equities present the best investment opportunities while 14% are putting their faith in "safe havens" such as gold
As the markets react to ongoing turmoil in the US and the Eurozone, Barclays Stockbrokers, the UK's largest online execution-only stockbroker, continues to see unprecedented levels of trading activity from its clients. Although some clients are adopting a "wait and see" approach (38%), many investors feel the current market conditions present buying opportunities and that there is value to be found in the market. 40% of respondents believe they can capitalise on current market conditions, with 32% saying developed equities present the best investment opportunities.
Traditional "safe havens", such as gold, have historically proved attractive for investors in turbulent market conditions. When asked, one sixth (14%) of investors believe these sectors present the best investment opportunities at the moment. A further 14% of respondents stated that they are more concerned about the sovereign debt crisis in the Eurozone than they are about events in the US.
Paul Inkster, Head of Product, Barclays Stockbrokers, said: "Market events have triggered extreme volatility and we continue to experience exceptional levels of trading activity, as our self-directed clients take control of their investment decisions. While some investors continue to wait for events to unfold, many others are actively seeking investment opportunities, as evidenced by the majority weighting towards purchases. As is often the case in volatile markets, clients are also seeking out traditional "safe havens", especially gold as it rose to a high on Tuesday above $1,750/oz. Developed equities also continue to be a popular choice with clients, even as markets fluctuate hugely.
"Despite the turbulence, Barclays Stockbrokers Price Improver®, the tool used to ensure clients get the best prices, achieved an improved price on 82% of all trades placed on Monday and 79% on Tuesday. So even in extreme volatility, our clients achieved a better price than the one available from the London Stock Exchange in the vast majority of instances."
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