Press Releases

November 1, 1995
Two National Studies: NCWRR Examines Baby Boomer Retirement Plans and Gender Investment Comparisons

Contact: Dorothy Clarke
(516) 283-4809

Southampton, N.Y. -- The baby boom generation has historically been characterized as poor savers and big spenders. The National Center for Women and Retirement Research (NCWRR) is set to begin a major educational and research initiative that will examine for the first time the evolving perspectives of this generation as it faces the monumental task of preparing for the retirement years.

"This project over the next three years will provide the nation with a clear understanding of what the baby boom generation both wants and needs in terms of making knowledgeable investment decisions about their future," said Dr. Christopher Hayes, Director of the National Center which is based at Long Island University's Southampton Campus. "We expect the study will have major public policy and pre- retirment planning implications."

NCWRR will, at the same time, embark on another major study examining the differences and similarities in men and women in making investment decisions.

The two national studies are being supported by grants from Scudder, Stevens & Clark which will sponsor the Baby Boom Retirement Preparation Poll, and The Dreyfus Fund which will sponsor the Gender Investment Comparison Study.

The baby boom study will take the form of a national poll of 1,000 men and women born between 1946 and 1964 that will be conducted on a yearly basis for three years. The sample will represent a cross-section of American baby boomers from various demographic groups based on marital status, gender, socio-economic status, occupation and rural-suburban mix. The study will be done in conjunction with the International Society for Retirement Planning.

"We hear over and over in the media that baby boomers are spending so much time dealing with present expenses that they have little leeway in terms of putting money away for the future," said Dr. Hayes. "This is the first national on-going initiative that will examine the attitudes of this generation as it grows older and what historical influences have shaped these attitudes."

Research has shown that baby boomers (individuals between the ages of 30 and 49) are at severe financial risk for retirement unless more educational initiatives are undertaken to encourage greater personal financial responsibility. Historically they have been characterized as poor savers and big spenders, with a high degree of mobility and marriages that have delayed child birth and a high divorce rate.

The Gender Comparison study will focus on how men and women are similar and/or different in investment decision making and the investment products they choose. The study, a written questionnaire of 2,000 men and women between the ages of 18 and 60, will address money attitudes, financial decision-making, investment history and future financial goals and objectives.

"The popular press has had a hey day in generalizing about why men and women are different in making investment decisions...This is the first national study to address whether these stereotypes are actually true and whether there is a significant difference in genders in terms of investment," said Dr. Hayes. The study will examine the realities versus the myths about gender differences -- for example the idea that women tend to be conservative investors who shy away from making money decisions. The first survey results are expected to be available for dissemination in June, 1996.

Since 1986 the National Center for Women and Retirement Research (NCWRR) has conducted landmark studies on the pre-retirement planning needs of women. Established with a grant from the Administration on Aging, Department of Health and Human Services, NCWRR offers seminars throughout the country on financial planning concerns of women through its PREP Program. To date over 136,000 have contacted the Center to participate in seminars or use its vast array of self-help materials.

For further information, contact Dr. Christopher Hayes at the National Center for Women and Retirement Research at the Southampton Campus, (516) 287-8266.