A survey by Natixis Global Asset Management found that 70% of investors in the UAE, Qatar and Kuwait are more willing to endure high levels of risk now than they could several years ago.
In contrast, the survey found that less than half of investors globally are willing to take the same level of risk.
The survey also showed that the 2008 financial crisis has had a particuarly lasting effect on Europe, with over 70% of respondents preferring to take as little risk as possible, even if it means sacrificing their returns.
Chief executive at Natixis, John Hailer, said: “Many individual investors have set aggressive investment targets, but don’t have a realistic way of reaching them.
“Something has to change. The markets have reached new heights and investors feel generally comfortable about portfolio performance.
“But without a plan that incorporates individual risk and personal benchmarks, the odds are diminished that investors will meet their goals, and that is the greatest risk of all.”
The survey also found that Gulf investors tend to place an emphasis on investment performance, with 64% saying they are willing to set a target return independent of overall market returns, and just under 70% worrying more about the risk of not achieving investment goals than not beating benchmarks.
More than two-thirds of investors throughout the region also said that traditional methods of portfolio construction no longer provide the best way to pursue returns.
Director and head of MENA distribution, Moad Touhami, said: "Individual investors need to look at new ways of utilising traditional assets within the larger context of their investment portfolios to achieve growth, improve diversification and stay on track to meet their investment targets.”
In November last year, Natixis appointed Terry Mellish to take over from managing director and head of MENA Jamal Saab, who left the company after nine years.
Mellish, who joined the asset manager’s UK arm in January 2010, filled the roles of UK/Ireland business, MENA and global consultant relationships.
Natixis is the international corporate, investment management and financial services arm of Groupe BPCE. It has three main business arms: wholesale banking, investment solutions and specialised financial services.
