82pc of investors are now confident over Irish outlook

More than four out of five Irish investors say they are confident about their own financial situation and the outlook for the Irish economy, according to a survey.

The survey of Rabobank customers finds economic sentiment among Irish investors has reached a four-year high.

The survey asks respondents about their forecasts for the next three months. The 82pc of investors confident about the next three months compares with an all-time low recorded in 2010 when only 10pc of Irish investors expressed confidence in the economy.

Despite the Dow Jones Industrial Index hitting a new record last week, two thirds of local investors say they are favourably disposed to the global stock market and believe there is value to be found in stocks.

When questioned about preferred asset classes, 51pc indicated a preference for equities, 24pc preferred the safety of cash, 11pc looked to bonds and 14pc to property.

When asked which particular sectors investors would be watching out for over the remainder of 2014, 29pc indicated the technology sector was of interest, 20pc said the financial sector, 20pc said sustainability-related investments, followed by investments in commodities (16pc) and healthcare (15pc).

“We’ve seen a sustained rebound in investor confidence in the global economy since the beginning of 2013 and this has now been matched by a strong upturn in confidence in the Irish economy during the first half of this year,” said RaboDirect investment manager Killian Nolan. “The turnaround in investor sentiment is due largely to recovery in the global economy which is gaining traction and also the more positive forecasts for the domestic economy,” says Mr Nolan. “Another key factor contributing to investor optimism is the historically low interest rates set by the European Central Bank which look set to continue for the foreseeable future. This is driving a search for better yields and making investment opportunities such as global stocks a more attractive proposition.”