ASB has released its latest investor confidence survey, which shows an improvement in outlook.

Investor confidence rose to a net 9% in the June quarter. It had been falling since the middle of 2014 but has gradually started to climb again.

ASB general manager of wealth Jonathan Beale said Chinese stock market volatility had dented confidence last year and at the beginning of this year.

"The improvement in confidence over the last three months suggests investors have realised significant events in China were not the end of the world. In the end, it had a minimal impact on fund performance, it was more a confidence thing," he said.

"We can take the same lessons from the market volatility that followed Brexit more recently. These types of events happen and are not a reason to not invest, or to take your money out."

But the report showed despite the NZX returning more than 20% last year, most New Zealanders still thinking investing in property is their best bet.

More than 20% of respondents said their own home would be their best returning investment over the coming three months, followed by those picking their rental property to perform.

Term deposits were in third place, followed by managed investments. Only 8% thought their KiwiSaver would be the star performer. Only 6% were backing shares.

"It's astonishing really, when you consider the performance of the NZX over the last year, that people feel more positive about the returns from term deposits," Beale said. "The hidden story here really is the New Zealand share market."

He said he hoped that over time New Zealand investing appetites could be broadened.