This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

76% Of Americans Not More Inclined To Invest In Stocks Despite Wall Street's Record Highs And Low Interest Rates

Stocks in this article: RATE

NEW YORK, April 22, 2013 /PRNewswire/ -- Despite recent stock market highs, individual investors remain very risk-averse. More than three in four Americans (76%) say they are not more inclined to invest in the stock market with interest rates on savings accounts and CDs at record lows, according to new research from (NYSE: RATE). That is the same percentage measured at this time last year. The percentage of people who are more inclined to invest in stocks increased slightly this year (to 22% from 18%), but that is a negligible change considering the poll's 3.7% margin of error.


"Although the Fed is trying to push investors into riskier assets in pursuit of better returns, individual investors aren't biting," said Greg McBride, CFA,'s senior financial analyst. also announced its latest Financial Security Index results. The Index dipped from 101.5 in March to 100.4 in April, but still indicates that consumers are feeling better about their financial security relative to 12 months ago (any figure above 100 illustrates improved financial security). This is only the fourth time in the 29 months since its inception that the Index has registered in positive territory.

"Even disappointing job growth in March wasn't enough to shake Americans' upbeat feelings of financial security relative to one year ago," McBride added.

Americans feel less secure than last year in only one of the Financial Security Index's five components: savings. Those who feel less comfortable with their current savings outnumber those who feel more comfortable by a ratio of greater than two to one.

Consumers feel they have progressed over the past year in each of the other four components: job security, debt, net worth and overall financial situation. Sentiment regarding savings, debt, net worth and overall financial situation remains correlated with income. Lower-income households possess the most downbeat levels of security while higher-income households are either the most likely to be upbeat or the least likely to be negative. Not surprisingly, lower-income households are also the least inclined to invest in the stock market due to low interest rates.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs