As of the end of 2013, the number of High Net Worth households reached an all-time high of 1.24 million, with the continued growth in the stock market considered the main cause of the rise.
Over ninety-five percent (96%) of High Net Worth investors claim that “hard work’’ was a factor in their obtaining wealth, and 94 percent credit “education.” Nearly ninety percent say “smart investing’’ was a factor while 80 percent said “frugality’’ helped them get and sty wealthy.
Forty-five percent of High Net Worth investors are willing to accept a tax rate between 16 percent and 25 percent while 29 percent don’t believe it should go any higher than 15 percent. Twenty percent are willing to accept a tax rate higher at 30 percent or higher.
The bad economic times are over for the High Net Worth investor, who sees much brighter skies in the future for the American economy.
In Spectrem Group’s study Financial Attitudes and Concerns, High Net Worth investors with a net worth between $5 million and $25 million are still unhappy with the political environment in the United States but do not see it standing in the way of economic growth.
Eighty percent of High Net Worth investors say their financial situation is better today than it was one year ago, and 66 percent expect that it will again improve one year from now. A sign that things have improved is that 45 percent of High Net Worth investors say they are willing to take a significant risk on a portion of their investments, whereas two years ago only 26 percent were willing to take a risk.
Sixteen percent say the prolonged economic downturn is their No. 1 national concern while a different 16 percent said government gridlock is the top problem in the nation today.
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