Wealthy Floridians Plan to Retire at 59 and TravelBy Andrew Rickard | April 09 2015 01:01PM
A survey of high-net worth people in Florida reveals that they expect to retire at an average age of 59, and almost all of them plan to travel when they finish work.
According to a BMO Private Bank survey of 493 adult Americans with at least $1 million of investable assets, 52% of respondents say they either have or will retire before age 60 and 95% of them plan to stay in the United States during their golden years. As for what they expect to do after they finish work, 90% say they want to travel, 82% wish to spend time with family, 61% will focus on their hobbies, and 52% would like to do some kind of volunteering.
The study also looked at how these affluent Floridians manage their finances. On average, they have an investment portfolio that is worth $7.9 million (well above the US national average of $2.2 million) and 88% of them expect it to fund their retirement, although 43% say they also wish to use it to provide an inheritance to their family. 73% of those surveyed described themselves as balanced investors, while 20% said they are conservative and 5% said they are aggressive investors.
"Having lived and worked through the recession, we're seeing tomorrow's retirees step back and re-evaluate the need for risk," comments Jack Ablin, Chief Investment Officer at BMO Private Bank. "They want to retire younger and do more, so they aren't willing to compromise their retirement income on risky investments."