Investors are finally moving away from the safety of cash towards the potential returns from stocks and shares, the latest Virgin Money Investor Intentions Index has revealed.
The survey revealed that the number of independent financial advisors (IFAs) advising their clients to invest in cash has fallen dramatically from 86 per cent this time last year, to 55 per cent now.
Meanwhile, 80 per cent of IFAs are recommending UK shares to investors as confidence begins to return to the markets. And when it comes to confidence in stocks and shares, 45 per cent of IFAs are most optimistic in the ability of UK shares to deliver the best return for their clients' investments, compared to just seven per cent that believe the same of cash.
Commenting, Virgin Money spokesman Grant Bather said: "The FTSE is on the up and while it will be a gradual and at times unpredictable improvement, there seems to be a quiet acceptance that UK shares are recovering from the downturn.
"Cash is a big loser as investors have started to shirk the relative safety of cash in favour of capitalising on the long but consistent curve of recovery in the stock market."
The research also revealed that ethical investments are continuing to suffer, as the number of IFAs recommending eco-friendly investments down from 49 per cent to 44 per cent in the past year.
Meanwhile, confidence in the Far East and other emerging markets is significantly higher now than a year ago.
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