Investor confidence has risen for the first time in a year. The ASB's Investor Confidence Survey shows optimists outnumber pessimists.
A net 19% of respondents expect better returns over the next year in the three months to December. That compares with 15% in the previous quarter.
Term deposits remain the favoured asset class, with a net 21% of investors believing it provided the best return, ahead of rental property at 14%, then bank savings and Kiwisaver. Shares lagged at 6%.
ASB private banking head Jonathan Beale says KiwiSaver is gaining traction among respondents, with six out of 10 indicating the workplace savings scheme will be their primary means of retirement.
Despite tax changes affecting property rules, Mr Beale suspects rental properties will always have a place in investors' hearts, but the gap with other types of investments is closing.