RS Investments shareholders, who own aggressive growth mutual funds, said they invest in them for high return (70%), long-term goals (63%), and diversification (50%), according to a company press release.
Younger investors are more likely to be attracted to the aggressive growth funds and are more likely to invest in them for high return and long-term growth, RS Investment said. Older investors are more likely to do so for diversification.
Despite the technology bear market, more than nine in 10 shareholders said they still “believe in the long-term prospects of technology stocks.’ More than half said they strongly agreed with this statement, while only 5% somewhat disagreed.
Meanwhile, nine in 10 shareholders agree that it “always makes sense to have small- cap exposure’ in their portfolio and more than half strongly agree with the statement.
The survey was based on 545 respondents nationwide during the period from October to December 2001. Nine in 10 shareholders surveyed owned aggressive growth funds.