Investor confidence in small companies is apparently intact after last month’s Brexit vote.
A survey of 1,000 UK investors has found 52 per cent would support small and medium-sized enterprises (SMEs) through private investment channels after the EU referendum.
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The report, from private equity house IW Capital and Crowdfinders, contrasted this with falling investor sentiment towards property, UK shares and government bonds.
The new survey also found 55 per cent of the 1,000 were not confident on the implications of Brexit for the FTSE. And 52 per cent were not confident on its impact on the property market.
On small business, 70 per cent of 18-34-year-olds said they will consider investing in companies after the Brexit vote. Geographically, London investors have the most faith in SMEs, with 68 per cent saying they would support them through private investment.
Luke Davis, IW Capital’s chief executive and Crowdfinders’ co-founder, said: “Following Brexit, Britain has been in a state of limbo, with consumers and investors unsure how the economic landscape will change over the coming months and years.
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“Our research supports this and shows that there is still a great deal of uncertainty surrounding what the result of the EU referendum will mean for the long-term prospects of the FTSE, the property market and the value of the pound.
“However, what we can take from this research is that there is a silver lining from a business perspective as our nation’s investors are willing to support SMEs in the wake of Brexit, something that cannot be said for other investment classes.”