A recent survey by Franklin Templeton Investments suggests Canadians are bullish about the stock markets, but remain anxious about their investment portfolios.
About 54% of respondents to the survey conducted by Angus Reid Public Opinion for Franklin Templeton expect stock markets to rise, while only 19% believe markets will fall. Canadians seem to be paying attention to analysts’ recommendations with more than 60% saying emerging markets like Brazil and China will present the greatest investment opportunities in the next decade.
Despite their optimism, Canadian investors have a difficult time keeping their emotions in check when it comes to their investments. Seventy percent of respondents feel anxious, reluctant, easily swayed or get caught up in the market’s buzz, while the remaining 30% said they never allow their emotions to affect their investment choices.
Serge Pepin, head at BMO Investments Inc., said its vital for investors to keep their emotions in check, or at least have a financial plan to help them deal with any downturn in an investor’s portfolio.
“Our emotions are perhaps our worst enemies,” he said in a recent BIV interview. “It’s important to stay the course, because it’s a question of buying at the wrong time and selling at the wrong time.”