For the sixth consecutive year, the number of millionaire households ($1MM+ net worth, not including primary residence) in the US increased significantly, reaching some 9.9 million, according to TNS’s annual Affluent Market Research Program (AMRP).
The number of millionaire households increased 5.9% from June 2006 to June 2007, TNS said.
The top 10 counties home to the most millionaires is led by Los Angeles County, accounting for 3% of all millionaires in the US. Four of the top 10 counties are in California:
The county with the highest percentage of millionaire households in its state was Arizona’s Maripoca County, home to 64% of the state’s millionaires.
Other key findings from the survey:
- The mean age of the US millionaire households is 66, with an average net worth of $4.6MM.
- The most important financial goal of surveyed millionaires (cited by 56%) remains “assure a comfortable standard of living during retirement.”
- Retirement and education are top-of-mind; the most-often cited financial events in the past year were “rolled over a retirement account” (13%); followed by “paid for a child’s education” (9%); and “paid for a grandchild’s education” (8.5%).
- Long-term investing remains a key success factor of millionaire households, with the vast majority making few reactionary changes in their portfolios:
- Asked about their investment approach from June 2006 to June 2007, 59.2% of millionaires indicated that their “approach has changed very little”; 35.6% “took a wait and see approach toward investing”; and 24% “took advantage of buying opportunities.”
- In 2003, 63% owned individually held stocks and bonds; that proportion was 72% in 2005; and reached 75% in 2007.
- Some 80% of millionaires during the period of the survey owned mutual funds outside of retirement accounts, reinforcing the premise that these investors develop a long-term financial plan and stick to it.