Data & Research March 22, 2010

Advisers Report Clients are Delaying Retirement

Advisers surveyed by Brinker Capital reported that despite 2009’s impressive market returns, many of their clients still have to delay retirement in order to eradicate performance shortfalls.
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Some 63% of respondents noted that up to 75% of their clients will have to work from three to five years longer to make up retirement savings shortfalls, according to a release of results of the latest Brinker Barometer.     

The vast majority of advisers appear satisfied with the way 2009 ended, with 88% saying that from a markets perspective the year concluded in a more positive way than they had anticipated. Turning to 2010, advisers continue to evidence optimism related to the country’s financial recovery, with 61% saying they’re either “highly confident” or “somewhat confident” about the nation’s economic outlook; 67% answering “highly confident” or “somewhat confident” about 2010 market performance; and 93% indicating they’re “highly confident” or “somewhat confident” about the future of their practices.      

Concerning specific investment strategies for 2010, 88% of advisers said emerging markets will outperform the U.S. again this year. More than three-quarters (77%) indicated they are allocating additional assets to guaranteed insurance products.     

More than half (56%) reported they are allocating additional assets to cash or other short-term strategies, but only a third (34%) said they plan on allocating additional assets to ETFs.     

When asked to list the economic and financial issues that concerned them the most, advisers returned some of the topics they’d surfaced in previous Barometer responses, including:

  • tax increases (63%)
  • budget deficit (19%);
  • double-dip recession (19%);
  • another domestic market meltdown (16%);
  • health-care reform (11%). 

The Brinker Barometer was conducted online by Brinker Capital in February and March. Results are based on responses from 247 advisers affiliated with insurance companies, independent broker/dealers, and in sole practice.     

 

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