Lower risk notlower returns

With two consecutive years of poor equity returns, many investors are losing their appetite for risk and turning to to the market's wide range of low-risk products

The past two years, during which the FTSE World Index has fallen 15.3%, have been tough for investors in global equity markets. Many who had an appetite for investing in riskier assets are fast losing it, turning instead to lower-risk investments. This in turn has seen product providers, who are always on the lookout for the next flavour of the month, promote their lower-risk funds and products as this last year's Isa offerings. In this article, I will explore some of the types of assets that are perceived to be low-risk investments ' namely, money market, corporate bond and zeros funds...