If outside factors are making you anxious about your finances and future goals, you are in the majority.
Fewer people are optimistic about the economy improving right now, according to the latest Quarterly Market Perceptions Study1 from Allianz Life Insurance Company of North America (Allianz Life). Less than half (47%) of the respondents said they think the economy will improve in the next year. This is down from 54% in 4Q 2021 and 66% in 4Q of 2020.
More than four in 10 (43%) said that they are too nervous to invest in the stock market right now. That’s the highest level of worry since 2019.
And when you consider all that’s happened in the past several years, this level of worry is understandable, with some major things outside of any individual’s control contributing to this pessimism.
With no end in sight to the extreme volatility over the past few years, the overwhelming majority of respondents (81%) said that they expect continued volatility this year. At the same time, 79% of respondents are worried that current world tensions will spark another recession. These factors (and likely others) led more people than at any time in the last year (56%) to say they worry about another big market crash.
That anxiety extends beyond present considerations to long-term financial plans. Anxiety about the risks of volatility to retirement savings is higher than it has been in a year at 40% of respondents.