Tony, I have read many of your posts and i have to say that, although you view it as a problem, it's nice to see that you, and so many others on MT, are very careful in regards to how MA influences your life. I am 25, so I am younger than you are; however, I do believe that I can offer something in the way of advice.
I don't think confidence is necessarily associated with martial arts. I'm the opposite, I was outspoken and somewhat of a loud-mouth as a kid, and MA helped calm me down a little. I think that everybody's different, and I could never say that MA should make YOU feel this way or that way.
What I can do is tell you a story of a young man I know, Jarred. Jarred has been training with me for about a month, twice a week, and now almost every day. Jarred is, maybe 23, just graduated college and is THE most polite person i have met in several years. However, he has absolutely no confidence in himself or his ability, which is a shame, because his potential is endless. Thus far into our training, which is just the basics and a lot of work, I have watched Jarred's personality open up. He becomes more confident with every thing he accomplishes. And it shows in every aspect of his life.
I can't tell you what MA should do for you. MA shouldn't DO anything, but teach you MA. You will get what you decide to get. Whatever it is, it's usually great. And having specifically placed myself in "real-life" situations, i can tell you that whateve instincts you have, will shine. But I can also tell you that the MA is much, much more than training for the few, if any real-life altercations you may have. I don't think you'd have any problem sparring with me, you just need to find the right partner.
AJ