Participants’ top investment and financial concerns are tied to inflation and a higher cost of living.
Baby boomers in particular often have a negative reaction to the term “investment risk."1
Most participants prefer in-plan retirement income options that provide greater flexibility versus guaranteed income.
In our latest survey of 583 large DC plan participants across the US, we explored how they think and feel about various aspects about their DC plans, including what keeps them up at night, drivers of investing and savings behavior, language preferences, and retirement income.2
~Female millennialWhen I envision retirement, I picture having the peace of mind that comes from knowing my basic needs are met, and having the freedom to pursue the things I enjoy…
Generational age bands as of 2024: Millennial, ages 28 to 43 (born 1981 to 1996); Generation X, ages 44 to 59 (born 1965 to 1980); and baby boomer, ages 60 to 78 (born 1946 to 1964).
Invesco partnered with Ipsos to conduct an online survey of 583 defined contribution plan participants (May-July 2024). Participant respondents had following characteristics: Age 25-65 years old; Personal income $30,000+; Employed full-time for an organization for 1+ years; Employer has 1,000+ employees; Actively contributing to a defined contribution plan; Does not work in education, financial services, the federal government, or involved in the management of or decisions regarding employer’s retirement plans.
We explored how participants think and feel about various aspects of their DC plans, including what keeps them up at night, drivers of investing and savings behavior, language preferences, and retirement income.
Mid-cap equities offer a compelling yet often overlooked opportunity for defined contribution (DC) plans.
In our research, we found three-quarters of plan participants wanted their plan sponsors to start the retirement income conversation earlier.
Our latest defined contribution research reflects upon the evolving retirement industry today as it faces inflation worries, risk aversion for older generations, and options for flexible retirement income solutions. We connected with 583 DC participants to better understand their preferences for creating retirement income and what features, resources, and approaches to communications resonated across the generations.
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Source for all data: May 2024 online survey by Invesco and Ipsos. Invesco is not affiliated with Ipsos.
This material is for illustrative, informational and educational purposes only and is not to be construed as an offer to buy or sell any financial instruments. Participant quote used with permission.
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