Market volatility rattles investors: BMO

The market volatility of the past six months has rattled many investors, according to a Leger Marketing survey for BMO InvestorLine. Thirty-one percent of respondents said they were concerned that there is no end in sight to the rollercoaster ride they’ve experienced this year.

Over half of Canadian investors (53%) are concerned that America’s and Europe’s economic troubles will spread to Canada.

This general nervousness has 69% of Canadians paying close attention to their portfolios the survey found, with 24% fearing their investments are not panning out as expected.

“Although Canadians are worried about the state of the economy, it is reassuring to know that they are monitoring their portfolios on a regular basis,” said Cesar Rainusso, vice-president, BMO InvestorLine. “Regardless of the circumstances, staying on top of your investments is one of the most effective ways to ensure you can get through turbulent times.”

Benjamin Reitzes, senior economist, BMO Capital Markets, suggests that the recent deal struck in Europe on how to manage sovereign debt should be seen as a sign for hope.

“If there are no speed bumps—such as unexpected flare ups—over the next few months, this plan could be sufficient to contain the European crisis,” he says.