Retail investors - Behavioural science report 2026

SJP Retail investors - Behavioural science report 2026

People can be highly motivated to invest by effective messaging which includes real-life, relatable examples, according to a new behavioural science report from St. James’s Place.

The research, carried out with Ipsos, involved an experiment with almost 6,000 adults looking at their responses to different styles of investment messaging*. It was supported by a separate ethnographic study, where nine individuals shared their personal experiences of investing.

The findings show that when messages focus on real behaviours and are backed up with clear, practical examples – especially where numbers are used to help bring them to life – people were more inclined to invest. This was particularly true among younger participants in the study.

Taking the results of the experiment, SJP concluded that small incremental shifts could aggregate into meaningful impact for a new wave of investors. All those who want to help drive this forward can do so by simply improving the way they positively reinforce the behavioural motivations linked with people’s purpose of their financial futures. Paramount to achieving this are two things: making communications more tangible and tailoring them to different audiences – recognising that different age groups respond differently to investment messaging.

Key insights from the 2026 report

58 %

of 18 - 34 year olds reported feeling more comfortable investing after seeing clear and informative investment messaging.

1.8 m

more people could be encouraged to invest through effective investment messaging.

£ 2.4 bn

additional retail investment could be made annually if people are given effective behavioural messages.

Download the 2026 Behavioural Science Report

Our recommendations:

Build campaigns that normalise investing and speak to different groups

Behavioural findings show that when investing feels socially normal, personally relevant and connected to people’s future selves, they are more willing to invest.

Integrate behavioural principles into how we communicate

Behaviour changes when investing is experienced differently. People are more likely to act when they can picture their future self, see that people like them invest, and recognise investing as consistent with their identity.

Put tangibility at the centre of investment communications

High tangibility framing, clear numbers and realistic examples, is one of the most effective ways to shift how much people say they would invest from an extra 100 pounds a month. This is especially true for 18- to 34-year-olds, who have the longest time to benefit from compounding.

Build a pipeline of support that helps people act

Changing investment behaviour at scale requires work on many fronts. Behavioural improvements are most effective when backed by a clear ladder of support. That ladder runs from guidance and targeted support through simplified advice and full financial advice. Each step should help people take the next action that is right for them.

Meet some of the people we spoke to about their financial futures.

As part of the research conducted, IPSOS’s ethnography research team complimented the experiment by spending time discovering some of the personal stories behind those navigating their financial futures.

Covering their lived experiences, financial behaviours, actions and what motivates them on their financial journeys, they share their thoughts in this 5-minute video.

Meet Jordan L

Jordan is studying to become a project manager, returning to education after realizing his first career plan wouldn’t give him the future he wanted. “I’m not where I should be,” he reflected. “I’m probably 3-4 years behind my peers, but now I’m focused. I have more self-worth and bigger aspirations.”

His reflection comes from recognising both the financial pressures his generation faces and his own history of comparing himself to others. “I wanted to be better than them, but that doesn’t mean much anymore—I’m only competing with myself.”

The cost-of-living crisis pushed Jordan to rethink how he manages money. Previously focused on speculative cryptocurrencies and “meme coins,” he now takes a more balanced approach. Crypto remains part of his plan, where he treats some stable coins like a savings account, but his long-term goal is clearer: “In the future, I don’t want to worry about weekly income—I want my investments to cover it and outperform my pension.”

Meet Aeysha & Michali

Both moved to London to pursue acting careers, seeking the best casting opportunities and agent access. Passionate but realistic about the financial challenges of freelance work, they reflected on their approaches to saving and investing.

Michali is a disciplined budgeter who believes in “little and often” and always invests a small portion of his income, “even in my lowest paid job ever.” He credits his parents for teaching him that “you don’t need to know much, trust the method and time, and that it’s often ‘dull’, the ability to just leave it and come back in 20 years’ time.” This mindset gives him a sense of control, though he recognises how hard it can be for freelancers to stay the course and how systemic gaps persist.

Aeysha has also saved a percentage of her income since age 16, but because the money stays accessible, she often dips into it “when in survival mode.” The perceived uncertainty of investing feels stressful to her— “I’m an overthinker, and watching crypto or stocks fluctuate is too unpredictable.” Instead, she invests in her vinyl collection, hoping to pass it down to her kids one day.

Still, Aeysha is curious about doing more. Motivated by long-term goals - “like owning a house, a crazy idea!” she jokes—she seeks advice from friends like Michali and older actors who are working toward similar milestones step by step.

Meet Jordan K

Jordan is now a project manager, having previously served in the Territorial Army. A proud homeowner and video gamer, he’s had a clear financial plan since entering the workforce. He holds emergency funds in premium bonds and used a LISA to buy his flat—now using it to invest in higher risk funds for the long term. He’s aware of the overwhelming amount of financial information and options available.

Jordan prefers a “slow and steady” approach over financial fads. Consistency motivates him: he invests monthly and enjoys tracking his progress, “whether it’s my mortgage balance going down or my pension pot going up.”

More broadly, he believes investors are everyday people - “they look like you or I; the guy in the bowler hat isn’t reality anymore.” He’s open to discussing money and draws insights from friends at the gym, colleagues, online finance videos, and conversations with his parents. Ultimately, he believes people should follow the strategies that resonate with their personal identity, trusting their own judgement just as others trust theirs.

Meet Amelia

Amelia and her daughter live together with their cat, juggling everyday life of work, school and caring for each other and Amelia’s parents. A supportive and busy home made more complicated over the last few years by health problems. Thankful for how she was able to fall back on her savings and investments during this difficult period, Amelia now faces the task of re-building.

Her experience highlighted to Amelia the purpose of pursuing savings and investments and how important it is to educate everyone about what “it’s really for” and wishes to help get the message out on the peace of mind it can provide you when you’ll need it most.

The value of an investment with St. James’s Place will be directly linked to the performance of the funds you select and the value can therefore go down as well as up.

*On behalf of SJP, Ipsos interviewed a nationally representative sample of 5,916 adults aged 18+ across Great Britain. The survey was conducted online between October 17th and November 20th 2025. Quotas were applied and data are weighed to match the profile of the population.