- Bulls and bears in a dead heat, new survey finds -
TORONTO, Feb. 9, 2012 /CNW/ - Investor sentiment in Canada is at its
most positive since the stock market collapse of 2008, a new Franklin
Templeton survey has found.
In its latest national research, Franklin Templeton Investments Corp.
found 40 per cent of investors describe themselves as opportunistic,
risk-taking or analytical, the three categories that typically suggest
buying behaviour. The number of investors describing themselves as
"opportunistic" has risen by 75 per cent since July 2011. These are the
most bullish results since the investment management company began
tracking investor sentiment after the global financial crisis three
"It's the biggest change in investor sentiment in three years," said Don
Reed, president and chief executive officer of Franklin Templeton.
The survey of 1,032 Canadian investors was conducted February 1, 2 and 3
using the Angus Reid Forum.
Notwithstanding the rise in positive sentiment, investors remain divided
in their outlook, with 42 per cent in the two most risk-averse
categories, describing themselves as "suspicious" (27 per cent) or
"timid" (15 per cent). The number of investors saying they were "not
sure" has dropped from 30 per cent in June 2011 to 17 per cent today,
suggesting that sentiment is hardening.
There's a deep division among investors when it comes to tactics too.
When asked what action, if any, they would be taking in light of
today's markets, 30 per cent of investors said they "have a good
strategy" and are "sticking with it". In contrast, 30 per cent of
investors said they were "not making new investments".
"Franklin Templeton's research suggests there will be a tug of war
between the bulls and the bears in 2012," Mr. Reed said. "It's a
perfect time for investors to get off the sidelines and re-enter the
In other results, the survey found:
There's a large and widening gap between men and women when it comes to
investor sentiment. Fifty per cent of male investors surveyed describe
themselves as opportunistic, risk-taking and analytical, up from 37 per
cent in June last year. In contrast, 32 per cent of female investors
identify with these optimistic attributes, up from 24 per cent in 2011.
Canadian investors surveyed are relying on two retirement income sources
above all others: government plans such as the Canada Pension Plan and
Old Age Security (74 per cent of respondents) and Registered Retirement
Savings Plans (72 per cent). Nationally, 41 per cent of respondents
said they would rely on their home or property as a retirement income
source; in British Columbia, the figure spiked to 54 per cent while in
Quebec, fell to 34 per cent.
Running out of money is the biggest financial concern of Canadian
investors regarding retirement (49 per cent). Only 10 per cent of
Canadian investors cited the ups and downs of the stock market as their
"In their retirement planning, Canadians are relying on three acronyms:
CPP, OAS and RRSPs," Mr. Reed said. "Given the Prime Minister's recent
musings about raising the age of eligibility for public pension
benefits, the need for smart RSP planning is greater than ever."
About the survey:
On Feb. 1, 2 and 3, 2012 an online survey was conducted among 1,032
randomly selected Canadian adults who currently invest in the stock
market or have done so in the past five years, and who are Angus Reid
Forum panelists. The margin of error which measures sampling
variability — is +/- 3.05%, or 19 times out of 20. The results have
been statistically weighted according to the most current education,
age, gender and region Census data. Discrepancies in or between totals
are due to rounding.
About Franklin Templeton Investments:
Franklin Templeton Investments Corp. is a wholly owned subsidiary of
Franklin Resources, Inc. (NYSE: BEN), a global investment organization
operating as Franklin Templeton Investments. Franklin Templeton
Investments provides global and domestic investment management
solutions managed by its Franklin, Templeton, Bissett, Mutual Series,
Fiduciary Trust and Darby investment teams. The San Mateo, CA-based
company has more than 60 years of investment experience and
approximately US$704-billion (C$706-billion) in assets under management
as of January 31, 2012.
Franklin Templeton Investments Corp. has more than 600 employees
providing services to more than one million unitholder accounts and
more than 200 pension funds, foundations and other institutional
investors. Additional information on Franklin Templeton Investments
Corp. can be found at www.franklintempleton.ca.
SOURCE Franklin Templeton Investments Corp.
For further information:
Sarah Kingdon, Consultant, Public Relations, Franklin Templeton Investments, 416.957.6191
Keith Damsell, Vice President, Corporate Communications, Franklin Templeton Investments,
Debra Chan, Senior Consultant, Argyle Communications, 416.968.7311 X229