Despite Middle East instability and the nuclear disaster in Japan, affluent investors remain most concerned with U.S. economic weakness, according to Fidelity Investments.
Sixty-eight percent of respondents indicated economic events at home topped their list of concerns, compared to 25% indicating recent international events were their top concern, according to more than 2,000 affluent investors-those with at least $250,000 in liquid assets-surveyed by the company at a March 22 round-table event.
While not their top concern, international events have had a significant effect on investor's mindsets, according to the survey, with 39% being concerned about how those events would impact the global economy. Additionally, 20% reported being confused or less confident in their investment decisions, while 15% saw the recent events as producing potential investing opportunities. One-quarter indicated the current climate was no different from past volatility.
Among top investment choices, 46% indicated their next investment dollars would be placed in U.S. stocks, while 16% indicated they would invest in bonds and 12% in international stocks. Fifty-two percent of attendees said they had at least 20% of their portfolio in foreign equities.