The DIY investing market fell by 8 per cent last year, despite the number of user accounts growing.
The value of assets invested by non-advised consumers dropped to £345bn at the end of the year according to Boring Money, reflecting volatile market conditions and a fall in consumer confidence.
The number of user accounts grew in the year, though at a decelerating pace, hitting an all-time high of 9.54mn accounts, up from 5.7mn at the end of 2019.
Chief executive of Boring Money, Holly Mackay, said although assets have not returned to the high seen at the end of 2021, the industry has recovered from the “doldrums” in September last year.
“Consumer sentiment remains very low, and although new money is not rushing in, neither are we seeing people sell up en masse,” she said.
“Investors are largely sitting on their hands and riding it out, with new investors coming in albeit at slower rates than we’ve become accustomed to.”
Data from AJ Bell at the end of last year showed that Fidelity, Vanguard and BlackRock’s iShares were among the most popular fund offerings for investors.
Five of the top 10 most popular funds were exchange-traded funds, though Fundsmith Equity and Scottish Mortgage remained in the top 10-held funds and trusts respectively.
Investors are also looking for vehicles that suit their own sustainability principles.
Figures from The Big Exchange show that interest in DIY impact invested quadrupled last year.
sally.hickey@ft.com
