×
Newsmax TV & Webwww.newsmax.comFREE - In Google Play
VIEW
×
Newsmax TV & Webwww.newsmax.comFREE - On the App Store
VIEW
Tags: fidelity | baby | boomers | stocks

Fidelity to Baby Boomers: Lay Off the Stocks

Fidelity to Baby Boomers: Lay Off the Stocks
(Getty)

Thursday, 14 November 2019 08:56 AM EST

Hey, baby boomers: lay off the stocks.

That’s the message from Fidelity Investments in its third-quarter retirement report. Boomers, or the generation born between 1944 and 1964, have been riding a 10-year bull market into retirement, steadily upping bets on stocks to boost 401(k) returns and exposing them to unnecessary risk.

More than a third of the generation had crossed over Fidelity’s recommended allocation to stocks, which is 70% for those 10 years from retirement. Almost one-tenth of boomers were entirely in equities during the quarter, running the risk of serious losses in a market meltdown.

By comparison, almost a quarter of all savers had too much devoted to stocks.

Other highlights from the report:

  • Average 401(k) account balance dropped to $105,200, less than a 1% dip from the prior quarter, due to market conditions
  • For long-term savers who have been invested in their 401(k)s for 10 straight years, the average balance reached a record $306,500
  • More than 1 million workers contributed to a Roth account, almost a 10-fold increase from a decade ago

© Copyright 2024 Bloomberg News. All rights reserved.


InvestingAnalysis
Hey, baby boomers: lay off the stocks.
fidelity, baby, boomers, stocks
174
2019-56-14
Thursday, 14 November 2019 08:56 AM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.
 
Get Newsmax Text Alerts
TOP

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved
NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved