UK investor confidence rises ‘sharply’ despite market volatility

Confidence among UK investors has risen ‘sharply’ over the past year, despite ongoing geopolitical instability, trade tensions, and market uncertainty, a study from AML Group and The Nursery Research & Planning (TNRP) has shown.

The Investor Index 2026 increased to its highest level since the index launched in 2020, rising from 103 in 2025 to 115 this year.

The index is a composite measure of investor confidence, sense of control and how informed investors feel about their financial decisions.

AML Group and TNRP said the findings suggested a significant shift in investor behaviour and mindset had occurred over the past 12 months.

UK investors seemed to be adapting to the uncertainty and continuing to invest through it, rather than waiting for conditions to improve.

Seven in 10 (70 per cent) UK investors believed long-term investing was more important than ever, with half increasing their investments over the past year, while a further 40 per cent maintained their existing investment level.

“What's particularly interesting is how normalised uncertainty appears to have become for investors,” said TNRP insights director, Nicola Wright.

“Confidence is no longer closely tied to calm market conditions. Investors seem increasingly comfortable making decisions in a world where disruption and volatility are seen as part of the backdrop rather than temporary events.”

Artificial intelligence (AI) tools were found to be becoming more embedded in investor behaviour, with 49 per cent now using AI tools for financial guidance, up by 16 percentage points over the past 12 months.

The wider advice market was adapting to evolving needs amid growing demand for guidance, while firms were facing rising regulatory and operational pressure.

The firms noted that Consumer Duty and greater compliance demands were reshaping the advice market, with many firms raising minimum investment thresholds and directing lower-value clients towards digital services and focusing more heavily on personalised support for higher-value clients.

Advisers were also integrating AI tools into their businesses, using them to manage administration, research, and regulatory workloads.

Stronger-than-expected client retention was being reported across generations, despite widespread concerns about the ‘Great Wealth Transfer’.

“The expansion of the Investor Index across three European markets gives us a richer picture of how confidence, behaviour and advice are evolving across different audiences,” said AML Group strategy director, Nicola Davies.

"What this year's findings show is that the appetite is there across the board. Investors are more resilient than anyone anticipated, advisers are confident about where the profession is heading, and the people who haven't yet started investing are closer to that first step than they might think.

“For firms, that's invaluable. The better we understand how each of these audiences thinks and behaves, the better placed we are to serve them."

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