Investors would still opt for fixed income over equities, according to research from UK fund house New Star Asset Management.
The research, conducted in association with NMG research, surveyed 641 seasoned investors as to what fund they would choose if they had £10,000 to invest in a single unit trust.
Of these, 16.5% of investors would select a UK Bond (Government and Corporate) fund, whereas only 12.8% would choose an equity based fund, indicating that investors are still uncertain about the prospects for equity markets.
Despite widespread speculation of a fall in residential property over the next year, 15% of investors would plug for a fund investing in residential property. Interestingly, only 3.8% would invest in a commercial property fund, despite more positive forecasts for the commercial property sector.
However, most investors remained undecided as the ISA season approaches, with 39.2% still not knowing where they would invest £10,000.