Source: Trustnet.com
The result of the poll is in defiance of recent news that mining stocks have led a European market surge.
Rangold Resources announced plans to increase its dividend by 18 per cent amid soaring gold prices, while shares in Xstrata were given a boost by positive broker notes.
In light of the gains in the commodity sector, industry experts are recommending investors increase their exposure, suggesting there are signs that commodities could be the story of 2011.
"We believe the commodity market as a whole is fairly robust," said Nick Raynor, investment adviser at The Share Centre. "Demand is still high, even though there is a huge amount of investment in the industry."
Managers have started allocating more of their funds to the tech sector, however. For example, Lindsell Train Investment Trust’s manager Nick Train recently told Trustnet that growth will come from the IT sector, while Trustnet Alpha Manager Tom Winnifrith puts the sector on a par with gold and silver.
Head of research at Whitechurch Securities Ben Willis is very positive about the sector, particularly in the US, having invested there since 2009.
"The technology sector has given us fantastic returns and we’re still very positive about it," he said.
"Many US technology companies are cash rich and are now looking to make their money work by securing other businesses or developing technology."
Other industry experts are wary of technology following the dotcom bubble in the early noughties.
"I think that with technology being largely based in the US, and because of the stimulus packages being offered there, then technology is probably a strong bet," said Chris Spear, who is managing director at Spear Financial Limited.
"But we must be cautious of bubbles. It is clearly a good story but we need to separate the story from the stock market," he added.
Some intermediaries don’t think technology will be the next big thing. Clive Collins, director of IFA McCarthy Taylor Limited, warns against hunting for financial narratives.
"We’ve had great stories from commodities like gold and copper in the past and everyone is searching for the next big growth story. But it’s not as simple as that," he said.
"We certainly won’t recommend diving into technology. If we look historically then there is the danger of a bubble."
Performance of portfolios vs index over 5-yrs
Source: Financial Express Analytics
Financial Express data indicates funds with a weighting to commodities have returned 85.6 per cent to investors over five years, while those with a technology focus returned 35 per cent.