Achieving more financial confidence at any age


Key Points

  • Many investors have experienced a financial setback during their lifetime — and have recovered.
  • Respondents of the Ameriprise Ages, Stages & Money study cite living within your means as the number one factor in their financial success.
  • Your Ameriprise advisor can help you throughout all life stages to stay of track to achieve your financial goals.

Financial confidence has little to do with your age, according to respondents of the Ameriprise Ages, Stages & Money study.

The study revealed how investors across five decades with at least $100,000 in investable assets manage their money and how age and life stage has shaped their financial journey. Here are the highlights:

 

Most have had a financial setback… and recovered

 More than half of survey respondents in every age group from 30 to 79 revealed they have experienced a significant financial setback in their lifetime. The good news is that despite experiencing financial setbacks, many study participants have recovered from them —  and most who are over age 60 have fully recovered.

Those age 30 to 49 indicated that hardships related to work, such as job loss and salary issues, have affected their financial situations. Members of this age group include those who:

  • Faced a poor job market upon graduating from college in 2007
  • Experienced the economic changes of the Iraq and Afghanistan wars1

Those age 50 and older experienced market losses as their primary setback, including:

  • The Great Recession, which delayed some retirement plans
  • Black Monday, which shook their optimism toward the stock market

They are taking proactive steps to feel more financially secure

Younger respondents are more likely to concentrate on paying down debt and contributing to a retirement account, while older generations focus on diversifying their assets and investing in a brokerage account to improve their financial picture. 

 

 

 

They take ownership of their financial circumstances

Across the board, all age groups credited their financial success to three actions: 

  1. Living within their means
  2. Hard work
  3. Starting to save early 

Respondents whose financial situations included receipt of an inheritance or large sum of money, only accounted for three to four percent of all responses.

Stay on track to achieve your own financial success

Investors in any stage of life can take actions to further strengthen their financial future. Contact your Ameriprise financial advisor for personalized financial advice to help you achieve your goals.