In case there was any question about whether or not investors need advice (Forbes):
The stock market was up 30% in 2013, but if you’re like most investors, that’s news to you.
A new Gallup survey shows that nine out of ten people are unaware that the stock market climbed 30% last year. Most believe that stocks performed well, just not that well — 17% say stocks increased 20% and 37% say stocks increased 10%. Three out of ten people thought stocks stayed the same or decreased.
The bull market is well into its fifth year, but many Americans haven’t reaped the gains.
Just 52% of Americans were invested in the stock market last year, down from 62% in 2008, according to a previous Gallup survey. Another study pegs equity allocations at their lowest levels over the last half century. This includes workers who own equities through money invested in a 401(k) or other retirement account.
“Every bull market, such as the one the country is now experiencing, has the bear’s shadow hanging over it. And that shadow tends to grow bigger and darker with every additional month of market gains,” notes Gallup.
But instead of reasoning that folks are scared to put money into the stock market because of hefty gains, the fact is that most investors are actually unaware of these gains.What if investors were handed $10,000 to save or invest now? Just 41% would put it in the stock market, while 36% would keep it in cash and 20% would buy a CD.
