GraniteShares ETP : Nearly two out of five (39%) of the UK’s army of retail share traders say they’ve made money buying and selling shares in the past year despite market volatility
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Will Rhind, Founder and CEO at GraniteShares ETP
- Average spending on buying and trading is more than £2,600
- But just one in 12 retail traders have started buying and selling this year
The numbers claiming to have made money outweigh those who have lost out – 34% of share traders admit to losing money on their trading while 14% estimate they’ve broken even and 13% don’t know whether they are up or down on the year.
Just one in 12 (8%) of retail share traders claim they’ve made big profits with 31% admitting their returns are small, the nationwide study found.
The research for GraniteShares, which offers UK sophisticated investors a suite of index ETPs tracking FAANG stocks and a suite of Short and Leveraged Single Stock Daily ETPs tracking some of the most popular companies in UK markets, found the average spending on buying shares in the past year is estimated at more than £2,600. Around a quarter (24%) of retail traders however say they spent more than £5,000 in the past year.
GraniteShares research shows nearly one in three (32%) of UK adults currently buy or own shares. Around 42% of men say they do compared with 23% of women while 18 to 25-year-olds are the most likely to buy or own shares at 37% compared with other age groups.
Most retail share traders have been buying and selling for five years or more in contrast to claims that the COVID-19 lockdown triggered a rise in share trading. Around 69% say they first started five years or more ago. Just one in 12 (8%) have started trading in the past year.
Will Rhind, Founder and CEO at GraniteShares said: “The past year has seen high levels of volatility with a swing of nearly 1,000 points from the FTSE’s high to its low and markets worldwide have been similar.
“It is quite interesting to see that more retail share traders seem to have made money than lost it in the past year, and that there are a large number of people who have been trading for the long time as the research shows.
“It is also the case that there is a growing number of sophisticated investors in the UK who see opportunities from market volatility, which is reflected in the demand for products such as short and long ETPs which provide the flexibility needed to help navigate volatile market swings on both the long and short sides.”
Source: ETFWorld.co.uk
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