First 'Investor Class' Poll Finds Kerry and Bush in Dead Heat as Better Manager for US Economy

Even Most Affluent Investors Are Far More Worried About Health Care Costs And Mounting Deficit Than Tax Cuts

NEW YORK, March 1 /PRNewswire/ -- The first in a series of MONEY/ICR polls of the so-called "investor class" -- the roughly half of American households who own investments and are already being courted by both parties as an emerging political force -- finds that investors are split over who would be a better manager of the U.S. economy - Democratic candidate John Kerry (with 41%) or George Bush (with 40%). The poll also found that American investors -- even the most affluent who make $75,000 or more -- say that containing health care costs and controlling the deficit are far more pressing economic concerns for the country than cutting taxes. The poll found 36% of investors say they are Republican, 33% Democrat and 26% Independent.

"We think investor households -- which may account for as many as 125 million Americans -- are absolutely worth watching, not least because they might surprise us this year," said MONEY Managing Editor, Bob Safian. "Already, this first poll has given us a great deal to think about: We've found that the most affluent investors -- the only segment where a majority says they're better off than they were a year ago -- also tell us in great numbers that they are much more worried about the deficit and paying for their health care than they are about tax cuts."

When asked about scandals on Wall Street and in the mutual fund industry, fully 71% of investors said that outside regulators should oversee the industry, while 22% said the financial industry should regulate itself.

Majority of Investors: We're Not Better Off Than a Year Ago

Overall, 40% of investors say their personal financial situation is better than it was a year ago, 17% report they are worse off, and 42% say that their situation is about the same. Only among the most affluent group of investors -- those with a household income of $75,000 or more -- did a slight majority, 53%, report that they are better off than they were a year ago. A majority of all investors with an income of under $75,000 say their personal financial situation is either about the same or worse than at this time a year ago.

For Investors, Health Care Costs and Deficit Are Most Pressing Economic Issues

When asked which of four issues -- health care costs, deficit control, tax cuts, or funding for defense and homeland security -- is the most country's most pressing economic concern, a resounding 44% of investors said containing health care costs was most pressing, followed by controlling the deficit (30%). Distant runners-up were cutting taxes (11%), and increasing funds for defense and homeland security (9%).

Investors' Biggest Personal Worry: Paying for Health Care

The MONEY/ICR Investor Class poll found that a majority (55%) of all investors agree that paying for health care is much more worrisome than losing their jobs, paying their debt, or losing money in the market.  By comparison, only 15% of investors said they were worried about losing their job and only 12% said they were worried about losing money in the market. 

About the Poll

The Money/ICR poll was conducted with a nationwide sample of 556 male and female investors between February 11 and 15, 2004. The margin of error was plus or minus 4.16 percent. "Investors" for the ICR study were defined as anyone who said yes to the following question: "Do you have or own stocks, mutual funds, bonds, a 401(k) account or an Individual Retirement Account (IRA)?"

The poll was fielded by International Communications Research (ICR) using its EXCEL telephone omnibus survey of adults. ICR is one of the nation's leading market and opinion research firms and is headquartered in Media , Pennsylvania . For more information on this methodology please go to: http://www.icrsurvey.com/omni-srv.html.

Published by Time Inc., MONEY was launched in October 1972 with an initial circulation of 225,000. Today, MONEY is the largest financial publication in the world with a paid circulation of 1.9 million and a total monthly readership of more than 7 million.

SOURCE  MONEY Magazine
CO:  MONEY; Time Inc.
ST:   New York
SU:  SVY CPN
http://www.prnewswire.com
03/01/2004 11:13 EST