Jannah Theme License is not validated, Go to the theme options page to validate the license, You need a single license for each domain name.

BlackRock Survey Reveals U.S. Retirement Savers Feel ‘Off Track’

Receive Free Updates on the U.S. Economy

A new survey from BlackRock found that U.S. retirement plan participants have become significantly more pessimistic about their ability to save for retirement over the past two years, warning that high inflation and volatile markets are making people financially insecure.

The share of U.S. retirement savers who feel “off track” has more than doubled to 24% since 2021, according to a report by a $9.4 trillion asset manager. The percentage of people who feel that they are “making good progress” fell 13 points from the peak in 2021 to 56%, the lowest level since the survey began eight years ago.

nearly 30 percent of the total retirement Surveys show that savers now plan to work longer because of the economic situation. Rising interest rates and last year’s slump in stock and bond markets have left many retirement savers confused about where to put their money.

The shift is particularly pronounced among younger workers, with 31% of them saying they are off track. This raises concerns that contributions will be cut as people lose confidence in the long-term value of 401(k)s and other retirement savings plans.

Ann Ackerley, Head of Retirement black rocksaid: “Generation Z has the most self-doubt.

This finding is consistent with other studies of public mood. An annual survey conducted earlier this year by communications group Edelman found that the percentage of people worldwide who expect their families to live better within five years plummeted 10 percentage points to 40%, and even lower in the United States to 36%.

At the same time, Edelman’s survey found that 78 percent of those questioned trust their employers, while only 50 percent trust the government and the media.

A study by BlackRock found that recent volatility has also boosted interest in retirement products that protect defined contribution plan members from large market swings.

Ninety percent of employees surveyed said they were interested in investing at least a portion of their savings in income-guaranteed products, up from 76 percent two years ago. A dozen large plan sponsors with $24 billion in assets and half a million participants are experimenting with making such a service the default option.

https://www.ft.com/content/85458b8d-25b2-481b-95f6-226137263717 BlackRock Survey Reveals U.S. Retirement Savers Feel ‘Off Track’

Related Articles

Back to top button