To be adequately prepared for retirement, it is important to save money wisely. A new survey suggests that many people do not have the knowledge necessary to do that.
It takes a long time to save for retirement. If investments are not chosen wisely, people might never save as much as they need. Researchers recently decided to see how much people in the U.S. and 15 other countries knew about investing properly for their retirements. The results were not encouraging, as Bloomberg reports in "The World Isn't Prepared for Retirement."
Over half of the Americans surveyed, did not know that it is better to invest in a mutual fund than in a single company's stock. This is basic investing knowledge that is apparently not widely known. The other results were also disappointing. However, some of the survey results were intriguing.
People were asked whether they expected to have a robot companion during retirement. The Chinese seem especially bullish on the idea, with 20% of people answering yes. Only 6% of Americans did so.
If you do not know about investing properly for your retirement, it is important to learn. This is especially true, if you are nearing retirement age and do not have much time left to save for retirement.
Reference: Bloomberg (May 29, 2018) "The World Isn't Prepared for Retirement."