Almost two-thirds of New Zealanders believe the local economy is tracking well with faith in domestic financial markets just beating out confidence in property, according to our State of the Investor Nation report.
The State of the Investor Nation report also found that:
- Older people (55+) have the most confidence in New Zealand’s property market (64%)
- Younger people (18-34) have the most confidence in global financial markets (55%)
- Investors have the most confidence in New Zealand financial markets (67%)
- Wellington residents have the most confident in the economy in general (72%)
The survey results suggest Kiwis like familiarity when it comes to what they invest in, resulting in a skew to being more confident with domestic investments.
There are some stark differences within the population particularly when it comes to how confident people are in global financial markets. Overall, confidence in overseas financial markets was down at 43%, but 55% of younger Kiwis (18-34 year olds) were confident in them compared to 37% of people aged over 55. The skew of younger New Zealanders possibly reflects the increasingly global perspective of that generation, as well as a response to the frustration they are having getting into the property market here.
Confidence in investing in domestic financial markets proved to be more popular with 60% of respondents, closely followed by investing in New Zealand’s property market at 57%.
Those who already hold investments are likely to be more confident in both the New Zealand economy and domestic financial markets than those who don’t.
However, it was Wellingtonians who beat out the rest of NZ, as they demonstrated the most confidence about the New Zealand economy in general. But that finding doesn’t come as a surprise given that people on lower incomes are among the least confident about their ability to build wealth, whereas people in Wellington are almost certainly much more confident given they command the highest average incomes in the country.
How do you compare? Answer a few questions and see how you compare against data from The State of the Investor Nation report.