DIY investing market shrinks by 8% in 2022
22 Feb, 2023
The DIY investment market ended 2022 at £345billion, a small increase of 3.8% for the quarter but closing the year 8% lower, as markets struggle and consumer confidence falls.
The number of user accounts continues to grow – albeit at a decelerating pace - and has hit an all-time high of 9.54 million accounts, up from 5.7 million accounts at Q4 2019.
Hargreaves Lansdown has seen its market share fall from 40% to 37% over the last 3 years, as robo adviser market share has grown from 2% to 4%.
Boring Money CEO Holly Mackay comments:
“In terms of assets, we’ve not returned to the highs of Q4 2021, although we’ve recovered from the doldrums that we saw at the end of September in 2022. Consumer sentiment remains very low, and although new money is not rushing in, neither are we seeing people sell up en masse. Investors are largely sitting on their hands and riding it out, with new investors coming in albeit at slower rates than we’ve become accustomed to."
“Home bias is particularly true for the DIY investor and the FTSE100’s better fortunes could contribute to a slightly better ISA season than many anticipated at the start of the year.”
Boring Money will launch its flagship 2023 Online Investing Report on 1 March including consumer research, provider trends and forecasts for the sector.
