Fewer Americans are worried about an incoming recession compared to this time last year, reports new research out today by Allianz Life.
The 2024 Q2 Quarterly Market Perceptions Study found that the percentage of people concerned about a possible recession went down in 2024, from 64% in Q2 2023 to 55% in Q2 this year.
At the same time, Americans are also feeling less cynical about the current economic environment, reports Allianz Life. The number of respondents who say they are too nervous to invest in the market right now dropped from 62% in Q2 2023 to 56% in Q2 2024. Black/African American (43%) and Asian/Asian American respondents (44%) were more likely to report concerns in the market than white (36%) and Hispanic (38%) respondents.
Yet, some continue to prefer cash rather than invest in the market – Millennials (61%) and Gen Xers (57%) were particularly prone to cash over investments, while Baby Boomers were less likely (48%).
“While it’s encouraging that many people are feeling more comfortable with the market, it’s important to remember that setting yourself up for future financial stability is done over the long run,” said Kelly LaVigne, vice president of Consumer Insights at Allianz Life. “Don’t get distracted by the whims of the market. You want to have a financial strategy that accounts for risks like market volatility but does not get sidetracked by short-term unpredictability.”
As a growing number of Americans feel a new sense of ease with the current markets, more are extending that comfortability to financial advisors. Over half (54%) of respondents who work with a financial professional would prefer to meet with them more frequently than they currently do, and 71% of Millennials say they would prefer to meet with their financial professional more often, compared to 65% of Gen Xers and 37% of Boomers.
The vast majority (85%) say they have been in contact with their financial professional in the last year.
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Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
