Private investors are 'holding tight' despite the high risks on the stock market, Capita says.
There has been a distinct move towards cyclical stocks from defensive and there have been fewer investments since low stock market weakness during August and September prompted high investment into equities, the firm claimed.
Net trading was low and two-way trade was at its lowest level in the two years since Capita Registrars began its research.
Director John Roundhill said: "Private investors hate trading in volatile markets. When stock prices gyrate wildly, they tend to sit tight."
He added that while investors "courageously exploited market weakness in the summer" there had been little enthusiasm for commiting more capital to equities in the sutumn.
TD Waterhouse placed online gambling company PartyGaming at the top of the list for the best sell and second most popular, after Northern Rock, to buy.
PartyGaming is incorporated in Gibraltar and is not subject to UK government stamp duty.
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