Investors Consider Disappointing Economy Most Serious Threat to Achieving Financial Goals

   Nearly 40 percent of affluent investors cited the Economy as the most serious threat to achieving their household's financial goals at this time. This is four percentage points higher than in June when this question was last asked and the highest level since September 2008.

   Persistently bad economic news once again dominated headlines this month. Unemployment remained over 9 percent, the stock market continued its wild swings, and a new government report found that 46 million Americans live beneath the poverty level. President Obama introduced his $447 billion jobs bill as well as a debt reduction plan that included a new tax on millionaires.

   It is not surprising, then, that the Political Climate ranked second among the issues affluent investors considered to be the most serious obstacle to achieving their financial goals. Economic policies are playing a key role in the 2012 presidential race and lawmakers, particularly those Republicans who have announced their candidacies, have stepped up their opposition to President Obama's proposals. Twenty-one percent of affluent investors, seven percentage points higher than three months ago, cited the partisan Political Climate as being an obstacle to achieving their financial goals.

   The Political Climate was less of an issue to Millionaires (14 percent), who were more concerned than overall affluent investors with Market Conditions (13 percent vs. 11 percent), Inflation (9 percent vs. 7 percent) and Unemployment (7 percent vs. 5 percent). 

   These issues can also be considered to be part of the larger economic picture, and as the presidential race heats up, it is likely that each of these will be regarded with more concern in their own right.