Survey shows earners feel more secure about their wealth than heirs

According to Thomas Kostigen, Sophisticated Investor, marketwatch.com, April 15, 2008:

Most wealthy people earn their money, and because they earned it they feel more secure about keeping it. That’s what a new survey reveals about wealth and values.

PNC Wealth Management conducted the survey of people with more than $500,000 of investable assets.***

“An overwhelming number of affluent Americans earned their wealth and are more likely to feel secure during challenging economic times compared to peers who inherited their money,” according to PNC.***

A couple of things separate the earners from the inheritors: First, earners were in control of making their money, and therefore feel more confident about preserving it or making even more. Second, earners likely took large risks to achieve wealth. As we all know, as risk increases, so does return. Accordingly, earners are likely more comfortable with the concept of risk.***

Special thanks to Joel Dobris (Professor of Law, UC Davis School of Law) for bringing this article to my attention.