Income Oriented Stock Investments Attractive To Senior Investors

Today, Eaton Vance released a survey of financial advisors and senior investors. The survey revealed several interesting findings:

• ...most seniors now favor a heavy allocation to equities.

• Over half of seniors express a high level of confidence in the stock market (53% are bullish).

• A vast majority of seniors (77%) are comfortable with current asset allocations despite recent volatility.

Interestingly, seniors were ask how their view on dividend oriented investments would change if the 15% tax rate on dividends is allowed to expire.

• Only one in three (34%) senior investors says the reduced tax rate on dividends affected how they have structured their portfolio.

• If the dividend tax cut is repealed, more than half of investors say they will not adjust their portfolios. Only one in five (18%) says they will invest less in dividend-payers.

Source:
Eaton Vance 2007 Polls of Financial Advisors and Senior Investors Unveil Significant Findings (pdf)
Eaton Vance Corp.
Jeanette Harrison-Sullivan
October 24, 2007
http://www.eatonvance.com/alexandria/pressreleases/200710/Survey%20Equity%20Income%20Release%20FINAL.pdf