Q2 2020
Amid the confinement of the pandemic—and facing threats to their lives and livelihoods—investors looked inward.
Most rediscovered the joy of family, the importance of feeling safe and secure, and the value of health.
Now, emerging from lockdowns and still grappling with COVID-19, investors find themselves in a world that may have changed forever.
The pandemic and its aftermath inspired investors to focus on the things that truly matter to them: spending more time with family, protecting loved ones and safeguarding their health. What’s more, many investors expect to change fundamental ways of living—traveling less, working remotely, decamping to new locations.
At the same time, the pandemic has impacted how investors think about their money. Globally, 70% were affected by the economic contraction and market volatility—one-quarter significantly so.
Millennials in particular were impacted financially. But despite their concerns—job security, declining income and potentially delayed retirement—Millennials are intent on making a difference for others. One-third have increased their financial support to family members affected by COVID-19. Many also are
interested in philanthropy and sustainable investing.
Looking ahead, investors globally feel a mix of hesitation and anticipation. Eight in 10 see both risk in the current environment and opportunity as well. The uncertainty is driving an increased need for advice. Among investors with an advisor, for example, 83% are seeking more guidance than usual.
With the pandemic not yet in the rearview mirror, investors are navigating a changed world. Most will find their way with clear priorities, trusted guidance—and continued appreciation for the most important things in life.
US investors believe things will never be the same …
US investors believe things will never be the same …
… and want to focus on family, health and safety
… and want to focus on family, health and safety
COVID-19 has financially impacted many US investors, raising concerns
COVID-19 has financially impacted many US investors, raising concerns
COVID-19 has hit some groups harder than others …
COVID-19 has hit some groups harder than others …
… but many still want their money to make an impact
… but many still want their money to make an impact
Advice is key
Advice is key
Let’s talk
Let’s talk
Seize opportunities in the current environment
About the survey
About the survey
For this edition of UBS Investor Watch, we surveyed more than 3,750 investors. They were made up of 25 – 30-year-olds with at least $250k in investable assets, 31–39 year olds with at least $500k in investable assets and those 40 or above with at least $1 million in investable assets. The US sample consisted of 1,007 investors. The research was conducted in May 2020.
Sustainable investing strategies aim to incorporate environmental, social and governance (ESG) considerations into investment process and portfolio construction. Strategies across geographies and styles approach ESG analysis and incorporate the findings in a variety of ways. The returns on portfolios consisting primarily of sustainable investments may be lower or higher than portfolios where ESG factors, exclusions, or other sustainability issues are not considered, and the investment opportunities available to such portfolios may also differ. As a firm providing wealth management services to clients, UBS Financial Services Inc. offers investment advisory services in its capacity as an SEC-registered investment adviser and brokerage services in its capacity as an SEC-registered broker-dealer. Investment advisory services and brokerage services are separate and distinct, differ in material ways and are governed by different laws and separate arrangements. It is important that clients understand the ways in which we conduct business, that they carefully read the agreements and disclosures that we provide to them about the products or services we offer. A small number of our financial advisors are not permitted to offer advisory services to you, and can only work with you directly as UBS broker-dealer representatives. Your financial advisor will let you know if this is the case and, if you desire advisory services, will be happy to refer you to another financial advisor who can help you. Our agreements and disclosures will inform you about whether we and our financial advisors are acting in our capacity as an investment adviser or broker-dealer. For more information, please review the PDF document at ubs.com/relationshipsummary.