In the coming 12 months, UK investors will look to diversification, ISAs and investments offering fixed returns as they seek to manage their ongoing concerns about the health of the UK economy, new research from Shojin has revealed.

The investment platform commissioned an independent survey among 2,000 UK adults, of which 964 have investment portfolios worth in excess of £10,000 – this includes all forms of investments but discounts their savings and property used as a primary residency.

The research found that two thirds (65%) of UK retail investors have adapted their investment strategies to rising interest rates and high inflation over the past 12 months. But economic fears remain, with 55% worrying that the UK economy entering a recession would negatively impact their investments.

When looking forward to the next 12 months, almost two in five (38%) retail investors will diversify their investment strategy, while 53% plan to keep their investment strategy largely the same as it has been throughout 2023. 

Jatin Ondhia, CEO at Shojin, said: “Our research shows that while UK investors are navigating the complex financial landscape with adaptability and resilience, concerns still linger about the state of the national economy. Understandably, many are likely to take a low-risk approach over the next 12 months. Meanwhile, it’s positive to see a growing number of investors taking proactive steps and beginning to diversify their portfolios.”