SALT LAKE CITY—Approximately one-third of affluent investors are convinced they will have no wealth left to transfer to their children, and another third are unsure, according to a new study.
The study, conducted by MaritzCX, further found that four-in-10 affluent investors do not know if they will have enough money saved for retirement. Affluent investors were defined as those with more than $100,000 in investable assets.
“Despite the rebound of both the economy and the stock market, most affluent investors are concerned about some combination of circumstances that could once again threaten their income and portfolio,” said MaritzCX in its analysis. “Anxiety, it appears, might be the new normal, with investors fearing that the pattern of a significant economic downturn every few years will continue as it did in the first decade of this new century.”
The survey also found that one in five mass affluent investors and one in 10 high-net-worth investors feel they are too much in debt and are living paycheck-to-paycheck. Mass affluent investors were defined as those with $100,000 to $1 million in investable assets, while high-net-worth investors are those with $1 million to $10 million.
MaritzCX said its survey also showed that 45% are concerned about not having enough money to last through retirement, and 30% believe they will have to work to provide income in retirement.
“This is not surprising since we are now approaching the first group of retirees who will be retiring in the post-pension world, at least for the private sector,” noted Richard Brose, senior director of strategic consulting for the financial services practice at MaritzCX. “The new retirement is not age-bound but is filled with uncertainty. More than half of affluent investors say the idea of a retirement age is an outdated concept.”