Scottish Mortgage is no longer Britain’s favourite investment

Meanwhile, 35 to 44 year-olds’ largest position was holding the electric car-maker Tesla. The stock has similarly suffered, losing a tenth of its value in the first quarter, but has returned a dizzying 1,578pc in five years. 

Older investors between the age of 45 and 54 preferred the £26bn Fundsmith Equity fund, which has returned 88pc over the past five years under the leadership of star investor Terry Smith.  

However, despite its decline in size, Scottish Mortgage has remained prominent in many investors’ portfolios, ranking among the top five positions across all age groups. Shares in the trust have risen by 170pc in the past five years, thanks to early bets on some of the fastest growing companies in the world, such as the internet giant Amazon and the electric car maker Tesla. 

Interactive Investor said on average its customers’ portfolios lost 3.6pc in the first quarter, performing slightly better than professional investors in stocks and bonds, who recorded a loss of 3.7pc. 

Wealthy investors’ portfolios have suffered the most. Historically, pots worth more than £1m have performed the strongest, but this quarter they recorded the weakest performance, down 4.2pc. Meanwhile, portfolios worth between £50,000 and £100,000 fell by 3.6pc. 

The FTSE World index, which tracks the performance of the biggest global stocks, fell 2pc in the same period, as war in Ukraine and rising interest rates in the West fed market volatility.  

Richard Wilson, of Interactive Investor, said the conflict in Ukraine framed “what was already a torrid time for markets”. But he warned there remained few alternative options beyond the stock market for savers who sought long-term growth and were prepared to accept some risk.

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