{"id":328131,"date":"2021-08-20T19:52:00","date_gmt":"2021-08-20T16:52:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/retire-better-more-americans-have-1-million-saved-for-retirement-than-ever-before\/"},"modified":"2021-08-20T19:52:00","modified_gmt":"2021-08-20T16:52:00","slug":"retire-better-more-americans-have-1-million-saved-for-retirement-than-ever-before","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/retire-better-more-americans-have-1-million-saved-for-retirement-than-ever-before\/","title":{"rendered":"#Retire Better: More Americans have $1 million saved for retirement than ever before"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3ea9e2ce9a6\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3ea9e2ce9a6\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/retire-better-more-americans-have-1-million-saved-for-retirement-than-ever-before\/#401_k_balances_are_at_a_record_high_but%E2%80%A6\" >401 (k) balances are at a record high, but\u2026<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/retire-better-more-americans-have-1-million-saved-for-retirement-than-ever-before\/#Paul_Brandus\" >Paul Brandus<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#Retire Better: More Americans have $1 million saved for retirement than ever before<\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"401_k_balances_are_at_a_record_high_but%E2%80%A6\"><\/span>\n  401 (k) balances are at a record high, but\u2026<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div id=\"cx-next\" data-nosnippet>\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000382413\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"\n                inline\" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetArticleReader\n              \n              inline\n  article__inset\n          article__inset--type-InsetArticleReader\n              article__inset--inline\n  \"><\/p>\n<div class=\"media-object-article-reader\">\n<div class=\"audioplayer\" data-sbid=\"WP-MKTW-0000382413\" role=\"region\" aria-label=\"Listen to Article\" tabindex=\"-1\" id=\"articlereader\" data-show-title=\"false\" data-theme=\"wsj-article-reader\" data-show-header=\"false\" data-show-subscribe=\"false\" data-ads-enabled=\"true\" data-save-publication=\"false\">\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       Here\u2019s some really good <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a>: More Americans have a cool $1 million or more in their retirement accounts than ever before. That\u2019s according to the latest data from Fidelity Investments.\u00a0<\/p>\n<p> The Boston-based investment giant says the number of 401(k) accounts with seven-figure balances swelled 84% in the 12 months ended June 30 to 412,000, while the number of\u00a0seven-figure IRAs jumped more than 64%\u00a0to 341,600.<\/p>\n<div class=\"paywall\">\n       Together, the number of accounts with $1 million or more grew 74.5%, but it\u2019s not clear how many individuals this represents, since investors can have multiple accounts.<\/p>\n<p>Read: This record-breaking figure is now the average 401(k) balance<\/p>\n<p>While terrific news,\u00a0it shouldn\u2019t come as a surprise: The stock market has been soaring.\u00a0We reported just last week\u00a0that the S&amp;P 500<br \/>\n        SPX,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210599714\/realtime\" class=\"positive\">+0.84%<\/bg-quote><br \/>\n      \u2014the widely-watched investment benchmark\u2014has nearly doubled since the March 2020 pandemic low.\u00a0Think about that: If you had put money into an index fund that mirrors the S&amp;P, you\u2019d have doubled your money in a year and a half without breaking a sweat. <\/p>\n<p>Doesn\u2019t get much better than that.\u00a0<\/p>\n<p>Since Fidelity\u2019s data covers just the 12 months ended June 30, it\u2019s not possible to see if investors also doubled their money since the pandemic low. So I ran the numbers. But even before doing this, I figured the answer was no, because hardly anyone\u2014not even Fidelity\u2019s own highly-paid portfolio managers\u2014can beat the benchmark very often.\u00a0<\/p>\n<p>Sure enough, an <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>les-to-apples comparison shows the S&amp;P 500 rising about 39% over the 12 months ended June 30. Fidelity says its average 401(k) balance rose \u201cjust\u201d 24% over the same period, while its average IRA balance had grown 21%. It\u2019s a safe bet that the full March 2020 to August 2021 period would have shown a similar performance gap.\u00a0\u00a0<\/p>\n<p>But so what? A gain of 24% or 21% in a year is fabulous. And there\u2019s a darned good reason for not beating the benchmark: Because if you\u2019re a wise investor, you shouldn\u2019t have all eggs in one basket like the S&amp;P 500 anyway. <\/p>\n<p>Diversification\u2014spreading your investments around\u2014is one of the cardinal rules of successful long-term investing. Spread your bets: Stocks, bonds, commodities, real estate, and don\u2019t forget to hold some cash while you\u2019re at it. And within each of these asset classes, there are subclasses: Large-cap stocks, midcap and small-cap stocks? Growth or value? U.S. or international? Europe, Asia, Latin America, or rapidly-growing Africa? The same sorts of choices await on bonds. Government bonds? Corporate? Munis? Investment grade or junk? Long-term or short-term? On and on, the choices are endless.\u00a0<\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>My 401 (k) and IRA accounts haven\u2019t\u00a0doubled since the pandemic low, but both are up enough to make me happy\u2014and the fact that I\u2019m well-diversified means I sleep well at night. Sleeping well at night? That\u2019s a good return on my money. <\/p>\n<p>Diversification is super important because you never know when one asset class will fall. I don\u2019t know about you, but I certainly didn\u2019t know in early 2020 that we were about to be slammed by a bear market, nor could I guess\u2014nor could anyone else\u2014that it would only last 33 days. After all, going back a century,\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.reuters.com\/article\/us-usa-stocks-s-p500-bear-graphic\/say-goodbye-to-the-shortest-bear-market-in-sp-500-history-idUSKCN25E2R9.\" class=\"icon none\">the median length of a bear market is 302 days,<\/a>\u00a0according to Yardeni Research data.\u00a0<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Media<\/a>n means that half of all bear markets lasted longer than that. Being diversified helps when the sea gets rough.\u00a0<\/p>\n<p>The big gains that so many Americans have seen is also a reminder that it\u2019s time to rebalance their portfolios. Wise investors always have a plan, and perhaps yours involves having, say, 70% of your holdings in stocks. But since stocks have done so well, your portfolio might be a bit top heavy in equities now. <\/p>\n<p>Rebalancing\u2014getting back down to 70% stocks per your plan\u2014is probably a good idea. Investment advisers\u2014and you should have one if you don\u2019t\u2014will <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a>ly advise you to rebalance on a regular basis, perhaps once or twice a year. Sell a little of what has done well, buy a little of what hasn\u2019t. Again, the\u00a0goal here is to avoid having too many eggs in one basket.\u00a0\u00a0<\/p>\n<p>Now for the not-so-good news. While Fidelity\u2019s data is cheerful, it reminds me of something that is not. An entire generation after the 401(k) was born, more than five million employers in the United States still don\u2019t offer this to their employees. That means, says a study by the American Retirement Association, that some 28 million full-time workers\u2014and another 23 million part-time workers\u2014are disadvantaged when it comes to saving for retirement. <\/p>\n<p>Fidelity\u2019s data show hundreds of thousands of people with million-dollar retirement accounts, and I say hurray for them. Their golden years are looking good. <\/p>\n<p>Now if we could only do more to help the tens of millions of Americans who are being left behind.\u00a0 \u00a0<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>    <span>By<\/span><\/p>\n<div class=\"author mobile-scrim hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Paul Brandus\",\"subhead\":\"The Wall Street Journal\",\"list\":[{\"type\":\"link\",\"icon\":\"bio\",\"url\":\"https:\/\/www.marketwatch.com\/author\/paul-brandus\",\"text\":\"Biography\"},{\"type\":\"link\",\"icon\":\"twitter\",\"url\":\"https:\/\/twitter.com\/WestWingReport\",\"text\":\"@WestWingReport\"},{\"type\":\"link\",\"icon\":\"email\",\"url\":\"http:\/\/www.marketwatch.com\/news\/mailto:contributors@marketwatch.com\",\"text\":\"contributors@marketwatch.com\"}]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Paul_Brandus\"><\/span>Paul Brandus<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B20C05575-04D4-B545-75D5-CD7FBADDB574%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;#Retire Better: More Americans have $1 million saved for retirement than ever before&#8221; 401 (k) balances are at a record high, but\u2026 Here\u2019s some really good news: More Americans have a cool $1 million or more in their retirement accounts than ever before. That\u2019s according to the latest data from Fidelity Investments.\u00a0 The Boston-based investment&#8230;<\/p>\n","protected":false},"author":1,"featured_media":328132,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-328131","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/328131","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=328131"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/328131\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/328132"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=328131"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=328131"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=328131"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}