DIY investing has been on the rise since before the pandemic. After the Retail Distribution Review the two main reasons why people took to DIY investing were cost and control. The introduction of pension freedoms was another catalyst for the exponential growth we've seen in DIY investing.
When introduced in 2015, one in three pensioners went into drawdown without the help of a professional adviser, compared with one in 20 before the overhaul, according to the Financial Conduct Authority.
After a slight blip following 'Woodford-gate', which particularly affected Hargreaves Lansdown, we’ve seen an even bigger increase in DIY investing since the pandemic.
Consumers with more time on their hands and experiencing the boredom of lockdown have opted for the DIY retail investment route because of its ease and user-friendly investing experience.
The internet and YouTube are awash with blogs and videos providing 'how to' guides on DIY retail investing. Social media sites such as Reddit are a hotbed for DIY investors. It has provided a community for like-minded traders to move stock market prices.