ibnlive » India

Aug 06, 2012 at 08:42pm IST

Indians most confident about savings for retirement: Study

Mumbai: Indians are the most confident when it comes to the current level of savings, with 39 per cent believing that they are well prepared for retirement, says a study by global management consulting, technology services and outsourcing firm Accenture.

Indians, followed by Chinese and Americans, are the most confident about savings with 39 per cent, 28 per cent and 21 per cent respectively, believing that they are saving enough for their retirement compared to the global average of 16 per cent, found the Accenture Global Retirement Survey 2012.

According to the study, Russians (4 per cent), Japanese (5 per cent) and South Koreans (8 per cent) are the least confident about preparations for a retired life.

'Indians most confident about savings for retirement'

It has been revealed in a study by global management consulting, technology services and outsourcing firm Accenture.

Accenture had commissioned a survey of 8,112 individuals between 25 and 60 years old in 15 countries.

About 39 per cent of Indians have already privately invested in a retirement product, compared to 12 per cent in Russia, 19 per cent in Australia, 20 per cent in Brazil and 29 per cent in Spain.

However, compared to the global average of 82 per cent, Indians were slightly higher at 84 per cent in being worried about financial situation after retirement, according to the study.

Britons, Germans, Australians and Americans are the more optimistic with 65 per cent, 66 per cent, 69 per cent and 70 per cent of respondents, respectively, saying they are worried about their financial situation after retirement.

South Koreans (95 per cent), Mexicans (92 per cent), Russians (92 per cent) and Spanish (91 per cent) are the most pessimistic.

Indians 64 (per cent) and Chinese (86 per cent) also appear to have a good understanding of and access to information on the different retirement planning options, as they believe they have the necessary information, against the global average of 47 per cent.

About 68 per cent Indians followed by Chinese at 61 per cent are also confident about knowing how much they need to save every month to guarantee their standard of living at retirement, compared to the global average of 33 per cent.

Almost all Indians (99 per cent), Mexicans (98 per cent) and South Koreans (96 per cent) say it is important for them to start saving now, while 79 per cent of Germans, 81 per cent of Britons and 83 per cent of French say so.

People in the developing economies are much more conscious of the brand of the financial institution that manages retirement products, with an overwhelming majority of respondents in China (99 per cent), Brazil (97 per cent), India (96 per cent), South Korea (94 per cent), Poland (93 per cent), Mexico (91 per cent) and Russia (90 per cent) saying brand is important in product selection criteria.

Less than half (49 per cent) of Germans, and only 58 per cent of Britons say that brand matters much.