Roughly three-fourths of affluent investors perceive at least one major threat to their retirement security, but strategies for overcoming these threats vary by risk tolerance, according to a December survey from Spectrem’s Millionaire Corner.
Self-described conservative investors are most likely to respond to such threats as health care costs, inflation and changes to Social Security by cutting spending and putting cash in FDIC-insured savings accounts. Investors who call themselves “most aggressive” and “aggressive” investors plan to make their retirement more secure by investing more in their retirement accounts.
Both groups indicate a low level of interest in Treasuries, municipal bonds and annuities as retirement planning strategies, and 20% of both aggressive and conservative investors plan to delay their retirement.
Here’s the real jaw-dropper: 9% of aggressive investors and 5% of conservative ones indicate that they buy lottery tickets as part of their retirement strategy. Lottery tickets? Sadly, Spectrem didn’t report on how that investment strategy worked out.
