British expats are shifting their investment portfolios from risk-averse assets into stocks and shares as they become increasingly positive about equity markets around the world, particularly the UK, according to research from Lloyds Bank Private Banking.
The research shows expats held an average of 19% in equities, 3.6% in corporate bonds and 1.8% in government bonds compared to 17.5%, 4.2% and 2.3% respectively in 2012.
Almost half (45%) of those surveyed admitted to actively investing in stocks and shares and felt their portfolio was in a better position than 2012
Sixteen percent of those that chose to invest their assets back into the UK market claimed they had increased the size of their portfolio, in comparison to 10% who chose to reduce their portfolio.
Those in the UAE and USA were the most optimistic about their investments, with 43 per cent and 37 per cent respectively holding a positive outlook.
The findings suggest that expats in New Zealand and Canada hold the least amount of investments in the UK, which could be attributed to a trend of migration rather permanent residence.
Richard Musty, International Private Bank Director, Lloyds Bank said it was extremely positive news that British expats had regained their investment confidence.
“Expat life has its own unique financial pressures, but equally living abroad gives expats easier access to many markets and investments that will help them grow or receive income from their assets. However, with the FTSE performing strongly over the past year, the attraction to invest in the UK is strong,” he said.