Hard knocks for the high-net-worth
Most affluent investors think that they are in worse financial shape now than they were a year ago, according to a recent survey from Phoenix Marketing International.
Most affluent investors think that they are in worse financial shape now than they were a year ago, according to a recent survey from Phoenix Marketing International.
“We knew the [economic] downturn would have an impact, but I didn’t think it would be more than half who said their financial condition was worse,” said Kristina Terzieva, product manager at Phoenix of Rhinebeck, N.Y.
Fully 54% of affluent investors said that they were worse off than they were a year earlier. In addition, 30% said their financial condition was about the same, while 16% said it was better.
Just 32% said they thought their financial condition would improve in a year.
Fully 42% said they expected their financial state to remain the same, and 26% said they expected it to be worse.
As a result, 36% of respondents reported that they had met with a financial adviser, and 21% said that they expected to meet with an adviser within the next 30 days.
When asked about changes to their investments, 34% of respondents said that they had already chosen mutual funds as opposed to individual securities, and 12% said that they planned to follow suit in the next 30 days.
A full 25% of respondents said that they had already increased their allocation to certificates of deposit, and 13% said that they planned to do so.
The firm conducted the national online survey in May and June of 757 affluent investors, 35 to 64, with at least $100,000 in annual household income and investible assets.
E-mail Sue Asci at [email protected].
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