While the stock market has recovered, to some extent, from the bleakest depths of the recession, investors remain wary of putting their retirement savings in equities, a new poll by Allianz Life suggests.
More than three-quarters of investors aged 45-75 prefer a product with a projected 4 percent return guaranteed not to lose value over one with a projected 8 percent return with no guarantee on the principal. The findings echo the results of a similar Allianz survey last year, and led study authors to declare that a conservative investing approach is the “new normal” among baby boomers saving for retirement.
The survey results would explain a growing interest in annuity products by investors.
While only 27 percent of investors told Allianz they are currently working with a professional advisor, nearly a third said they are receptive to the idea of working with one, an increase from last year’s survey. Investors most often said they would look to an advisor to “understand the big picture for me financially” and “create more safety and guarantees in my nest egg.”