The Center for Retirement Research at Boston College has released a new Issue in Brief:
“Will the Rebound in Equities and Housing Save Retirement?”
By Alicia H. Munnell, Anthony Webb, and Rebecca Cannon Fraenkel
The brief’s key findings are:
- The 2010 National Retirement Risk Index showed that 53 percent of households will not be able to maintain their standard of living in retirement.
- But equity and house prices have both increased since then.
- Interestingly, updating the asset values only reduces the Index to 50 percent because:
- the rise in house prices has been relatively modest in real terms; and
- the more robust growth in stocks mainly benefits the top third of households.
This brief is available here.