The proportion of retirement advisors whose clients are worried about retirement savings has increased substantially since about a month ago amid the coronavirus pandemic, according to a recent survey.
Ninety-three percent of retirement advisors say their clients have reached out to them with concerns about their retirement savings, up from 66% who said so in early March, according to The American College of Financial Services, citing a survey of 245 financial advisors with the Retirement Income Certified Professional designation. The first survey was conducted from February 28 to March 2 and a second-round survey in which the group “reengaged” with the respondents was conducted 30 days later.
More than 59% of advisors say their clients are more concerned about retirement prospects now than they were a month ago, according to the survey findings.
Clients are making adjustments in light of the Covid-19 crisis, the survey found: 68% of advisors say their clients have adjusted their retirement plans in the wake of the pandemic and the market volatility it has caused, compared to 36% who said so a month ago.
Meanwhile, advisors are taking a proactive approach to client engagement in light of the government’s stimulus package, according to the findings. Eighty-three percent of advisors have reached out to their clients about the Coronavirus Aid, Relief, and Economic SecurityAct, the survey found.
“Our findings show a real and marked increase in anxiety, which is certainly understandable given how quickly things have shifted in a month,” Wade Pfau, co-director of the Center for Retirement Income and program director for the RICP designation at the college, says in a statement. “The good news, though, is that that we’re also seeing advisors and clients alike increasing their communication with each other to respond to these concerns, which is the key ingredient to successful financial planning.”
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