Volatility is at the top of investors’ minds, a survey conducted by MF Investment Management has found.
Sixty-four percent of investors are expecting an increase in market volatility over the next 12 months. The firm believes the results show how important active management is in the current market, with 72% of European investors surveyed saying that protecting capital in down markets is one of the most important attributes in identifying skilled active managers.
Short-termism is also a concern for investors, with 68% of respondents saying that investors are too focused on short-term investment returns, this is to say a period of 12 months.
In Europe, 71% of investors said they are willing to pay more for outperformance over five years, while 44% said they are willing to pay more for managers who can outperform over 10 years.
The overall study, which was conducted by the research firm, CoreData between April and June of 2015, includes responses from 1,083 financial advisors, institutional investors and professional buyers around the globe including 158 respondents in Europe.
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