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DAVID WHITE / FAIRFAX NZ [19659005] New Zealanders as a whole still think that the stock market is for people who really know it.
New Zealanders' lack of trust in investment markets costs them.
The Financial Markets Authority (FMA) released its latest investor confidence report, which shows that 66% of investors were confident in New Zealand's financial markets, compared with 69% a year earlier.
Confidence was lowest among women, youth and Pacific populations. ] FMA's general manager, Rob Everett, said that there were low levels of understanding of the stock market especially in New Zealand.
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Although there was 10 y The New Zealand equity market experienced record growth, and equities generated a period of exceptionally high returns, but many New Zealanders have always believed that Was "for others," he said. "For a host of reasons, New Zealanders as a whole still think the stock market is for people who really know it." They think that they do not have enough money to keep placing them in term deposits or suck up "
But he said that people who left their money in the deposits futures have lost.
"If you look at the stock market over the last 20 or 30 years, you can not say that The NZX50 gained 22 percent last year, 9 percent the year before, 12.8 percent in 2015, 16.8 percent in 2014 and 24.3 percent in 2014. 2013.
Term deposits, meanwhile, still offer only a maximum about 4% per year if people want to lock their money in the long run.
Mieke Welvaert, an economist in infometrics, calculated that excluding tax dividends and reinvested, someone who had $ 1,000 in the NZX50 would have made $ 760.14 in the last 10 years I A person in a term deposit, in turn, would have made only $ 501 – and growth would have stagnated in recent years.
Mieke Welvaert calculated that someone who invests in the NZX50 would have a better 17 percent return over the last 10 years than someone in a term deposit.
