For almost one-fourth of Affluent investors, the most serious threat to achieving their household’s financial goals is “The Economy.”
From the Spectrem Affluent Index Series, 24 percent of Millionaires were concerned about the economy, while 20 percent of investors cited the political climate as their No. 1 concern as it regarded their financial goals. Twelve percent said market conditions were the No. 1 problem for their household financial picture.
The survey was fielded in September when the key economic report, the Employment Situation, was decidedly lackluster. U.S. employers added a less-than-forecast 169,000 jobs in August, according to the report released at the beginning of the month. The drop in the unemployment rate to 7.3 percent was attributed to discouraged workers giving up on their job searches.
But the stock market rallied in September following a tumultuous August as investors anticipated what the Federal Reserve would do regarding its stimulus program (the Fed would announce that it would keep its bond-buying program in place, sparking another market record high).
The political climate is, as usual, a concern to Affluent investors as the White House and lawmakers continued to be at odds on a wide range of issues, from whether to attack Syria for its alleged use of chemical weapons; the Affordable Health Care Act, the president’s signature legislation, which opponents are determined to defund; the looming debt ceiling debate and the prospect of a government shutdown. The European crisis and inflation are barely blips on Affluent investors’ radars in regards to what they consider to be serious threats to achieving their financial goals.