New surveys of investors and financial analysts suggest that positive sentiment about the outlook for Ireland’s economy and stocks is tempered by concern about the prospects of a global slowdown.

RaboDirect said 93 per cent of respondents to its “investor barometer” survey were confident about the economic outlook in Ireland, the highest for five years.

Share prices

A survey by CFA Society Ireland, the professional body for investment analysts, points to expectations of strong Irish share prices in 2016, strong economic growth and a continuation of low interest rates.

According to RaboDirect’s survey of 734 customers with investment accounts, 85 per cent of respondents were optimistic about their own financial situation in the next three months.

“However, against a backdrop of increased uncertainty globally, fewer investors (69 per cent) say they are confident in the global economy (down from 73 per cent in August 2015) while just over half (54 per cent) say they see value in global stocks,” the bank said.

Killian Nolan, head of investments at RaboDirect, said investors were “significantly less confident” about the outlook for world economy on foot of greater uncertainty and weakening growth in China.

Knock-on effect

“This is having a significant knock-on effect on prospects for growth next year, particularly in emerging markets.”

The survey for CFA Society Ireland, which has some 270 members, found that almost one-third of respondents expected the Iseq index to rise to between 7,000 and 8,000 from its current level, which is about 6,800.