Investors expect even higher returns from the stock market in years ahead – despite coronavirus shock

coronavirus stockmarket

Savers predict annual returns of 10.9% from their stock market investments, even as Covid-19 halted the longest economic expansion on record and plunged the world into deep recession.

Investors continue to hope for double-digit yearly total returns from their portfolios, despite the huge blow inflicted on the global economy by the Covid-19 pandemic, according to the latest issue of Schroders’ landmark Global Investor Study.

Strong stock market performance in recent years appears to be behind investors’ continued optimism. On average, expectations for future returns are slightly higher in 2020 than in 2019. This was the third year in which investors’ forecasts of future stock market returns have increased. But it was also an extraordinary year, as investors were making their predictions in a period of extreme uncertainty. Covid-19 brought an end to the longest period of global economic expansion in history, and ushered in its place the sharpest downturn since the depression of the 1930s.

View Full Article – published by Schroders on 4th August 2020