(BFM Bourse) – The fall in the equity markets in the first quarter and the uncertainties linked to the conflict in Ukraine could have diverted the general public from the financial markets. On the contrary, financial investments (including equities) are still on the rise, according to the latest survey by the Autorité des marchés financiers.
Not even afraid. Individual investors have regained a taste for the stock market despite a context that does not encourage them to throw themselves headlong into risky assets. Since the end of February, the financial markets have been tossed about according to the latest developments on the Ukrainian conflict.
However, in the first quarter, nearly 800,000 individuals – 793,000 to be precise – made a purchase or sale on the equity markets, according to the 6th edition of the Dashboard of active individual investors published by the Autorité des marchés financiers. This number increased by 6.7% over a quarter and stands “at a level close to the high average observed during the two previous years.”
The sharp decline in the CAC 40 between January and the end of March – until it reached a one-year low on March 7 at 5,800 points – did not scare off retail investors. “In a context of falling equity markets”, 606,000 individuals bought securities last quarter, compared to 562,000 in the 4th quarter of 2021 and 602,000 a year earlier. Above all, buyers dominated the stock market debates, against sellers who were only 538,000 active in the past quarter.
Active investors… in passive management
“The number of new investors has started to rise again, to 91,000, at a level higher than those of the previous six quarters” notes the AMF. On the other hand, the volume of transactions carried out by individuals in shares fell to 10.69 million, after 12.91 million transactions in the last months of 2021.
Exchange traded funds (ETFs) – financial products that generally replicate the performance of an index – particularly found their audience last quarter. The number of retail investors having carried out transactions on these assets reached its highest level this quarter since January 1, 2018, at 165,000 against 109,000 in the last three months of 2021.
Sabrina Sadgui
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