The survey found that many respondents are employing a multi-asset approach, with a particular emphasis on property.
About two-thirds of those polled said the global economic crisis had “changed their expectations for future investment returns”, Skandia revealed.
Over the next 12 months, 46% predicted that the economic situation in the UK would worsen, compared with 35% who said it would improve.
As a result, millionaires are spreading their money across a mix of investments in an attempt to diversify risk, the survey found. Property accounted for about one-third of respondents’ portfolios, followed by cash (19.3%), shares (15.9%) and managed investment funds (14.2%).
Looking ahead, wealthy individuals are likely to continue their “love affair” with property. One-third of respondents plan to increase their investment in property over the next six months.
Graham Bentley, the head of investment strategy at Skandia, commented: “People might assume that a lot of millionaire wealth is ‘old money’ and hence it would be natural for a lot of it to be tied up in property. However, that is not the case.
“Nearly half of millionaires say their wealth has been earned from employment income, with only 14% having inherited it. This shows that property is genuinely an investment that millionaires feel comfortable with, and this looks set to continue.”
The full Millionaire Monitor report can be accessed via Skandia's website.