GCC investors in general have high expectations in regard to the returns of their investments, because the majority of them lacks long term experience.
The second Invesco Middle East Asset Management Study revealed that the highest target on return (risk appetite) for the GCC expatriate investors show those based in Qatar. They expect 21%, while the average expectations hover around 11%. Arab expats residing in GCC region have the lowest expectations for returns, in the range of 7%.
The wealthier the individuals are, more aggressive they become with their investments.
Local retail investors from GCC countries sit on different parts of the investment spectrum, which depends on their wealth and level of internationalization.
Among the common trends between them are: short term horizons, preferences tangible assets and direct investments. There are still vast differences.
Regional instability in 2011 is one of the major contributors to short-term investment horizons along with the risk-averse approach currently being displayed by investors based in the GCC region, but it is all set to change in 2012 claims the second Invesco Middle East Asset Management Study.
