Lack of confidence 'often causing stock market wariness'

A number of potential investors currently feel wary about making equity investments, research suggests.

Figures published by the retirement firm Prudential show that as many as one in four would-be investors are avoiding such investments because they believe they may lose money.

However, the firm believes that this attitude may see people lose out when it comes to the long-term benefits offered by shares.

Prudential's Retirement Savings Business Director Trevor Cheal commented that investors sometimes fail to take advantage of stock market improvements by sitting out the markets.

He said: "The saying that it is not timing the markets but time in the markets that matters could never be more apt."

Earlier this month, Prudential research revealed that only 16% of people looking to invest in the stock market seek guidance from an independent financial advisor before doing so.

The firm believes many people look to the web or media stories when considering where to invest their money.

Written by David Shuker.