Affluent investors are less concerned about the political climate.
The divisive and partisan political climate is old news, according to the March “Perception of Issues” survey conducted by Specrem’s Millionaire Corner. When asked what they consider to be the most serious threat to achieving their financial goals at this time, the highest percentage of Affluent investors responded “the Economy” (21 percent).
Concern over the Economy in general has leveled over the past six months, but Affluent investors are increasingly focused on market conditions. Nineteen percent said they consider this to be the most serious threat to achieving their financial goals at this time, up six percentage points since the question was last asked three months ago. Just 13 percent of Affluent investors said they consider the Political Climate to be the most serious threat to achieving their financial goals. This is down from 20 percent in December when this question was last asked.
When the March survey was fielded, the market has rebounded from reversals in the first two months of the year. Earlier in the month, the market was down five days in a row, but followed that up with consecutive rallies. This survey was also fielded before Fed Chair Janet Yellen’s March press conference in which she discussed the Fed’s latest moves regarding its stimulus program, so it is likely that market conditions will be a greater concern in the coming months.
At that press conference, Yellen said that inflation is below the Fed’s target and is expected to stay that way for the next two years, which may ease the concern of the 5 percent of Affluent investors who consider inflation to be the most serious threat to achieving their household’s financial goals.
Six percent of Affluent investors said they consider international developments to be the most serious threat to achieving their financial goals, up from 3 percent last December. As the U.S. issues further economic sanctions against Russia, and Russia, in turn stands poised to flex further military muscle against Ukraine, it is likely that this will rise.
Donald Liebenson writes news and features for Millionaire Corner. He has been published in the Chicago Tribune, The Chicago Sun-Times, The Los Angeles Times, Fiscal Times, Entertainment Weekly, Huffington Post, and other outlets. He has also served as a marketing writer for Chicago-based Questar Entertainment and distributor Baker & Taylor.
A graduate of the University of Southern California, he is married with a college-age son. He also writes extensively about entertainment.