FTSE set for 'gradual gains'

Gains on the FTSE 100 this year will be more gradual than the sharp increases that were seen in the latter stages of 2009.

This is according to director of Churchouse Financial Planning Keith Churchouse, who said that although there will be rises, the index is more likely to ’creep up’ rather than benefit from huge jumps.

’Investors are there, but I wouldn’t say that they are ebullient about the prospects for 2010,’ he remarked, adding that people should not expect to make quick returns from the stock market and should instead see buying shares as a long-term investment.

Mr Churchhouse added that gains of ’around five to ten per cent’ are most likely this year, which would take the FTSE 100 close to the 6,000-point mark.

He was commenting after a survey from the Investment Management Association revealed that those buying shares are now more confident than they were a year ago, but less so than at the start of last summer.ADNFCR-2318-ID-19563772-ADNFCR