interactive investor (ii) Index

The interactive investor (ii) Index gives a unique insight into customers' investment performance. Created in 2020, it charts the highs and lows of investments up to December 2024.

The ii Index - Q4 2024

We have published the latest instalment of the ii index, which provides a unique insight into how ii customers have fared and positioned their portfolios in the ever-changing investment arena.

The latest iteration of the report now includes five years of performance data, reflecting the minimum recommended timeframe for investing.

It reveals that the average ii customer performed strongly and above the IA Mixed Investment 40-85% shares sector across all seven timeframes examined.

The sector can be a useful comparator for private investor portfolios, given its mix of bonds, cash, and equities.

Our latest key findings:

Over five years (to the end of 2024) the average ii customer has seen their portfolio grow by 25.1%, marginally ahead of the aggregated performance of funds in the IA Mixed Investment 40-85% Shares sector (24.05%).
The 35-44 age cohort outperformed across the majority of the timeframes tracked, leading returns over the longest horizons - delivering 31.1% and 10.5% over five and three years, respectively
There has been a pivot away from UK stocks five years on from Brexit.
Once heavily weighted toward direct equities, the average ii investors have increasingly embraced collective investments.
Passively managed funds have increased in popularity over the period.
At the same time, bonds have seen renewed interest, reaching their highest portfolio weighting in recent years.
The report observes little difference between men and women when it comes to investment performance.

Download the full report from the link below.

View 'ii_index_Q4_2024.pdf' (PDF)

Commenting on the Q4 2024 ii Index, Myron Jobson, Senior Personal Finance Analyst, interactive investor, said:

Our report provides unique insights into how private investors have performed and positioned their portfolios over a five-year investment cycle - one that has been anything but ordinary. The past five years have tested investors like few periods before, with the Covid-19 pandemic, the cost-of-living crisis, geopolitical tensions, Brexit and political instability across the globe all shaping market conditions.
Yet, despite these challenges, investors have shown remarkable resilience, adapting their strategies and, in many cases, delivering strong performance against this turbulent backdrop. Our study sheds light on the key trends that have driven returns and how different investor groups have navigated the highs and lows of a truly eventful period for markets.