Cogent: Affluent Favor IRAs For Retirement Savings

Wealthy Americans now hold more assets in individual retirement accounts than they do in workplace-based retirement arrangements such as 401(k) plans and 403(b) plans.

Ownership of both types of retirement accounts is down since 2006, but ownership of workplace-based retirement accounts has fallen much more dramatically than for IRAs, according to Cogent Research L.L.C., Cambridge, Mass.

Affluent Americans now have 31% of their assets in IRAs and 25% in employer-sponsored retirement plans, Cogent says

Much of the money that investors once kept in employer plans is now in IRAs and, to a lesser extent, bank accounts, Cogent says.