Decision Making Clusters in Retirement Savings: Preliminary Findings
Document Type
Journal Article
Publisher
The Centre for Labour Market Research
Faculty
Faculty of Computing, Health and Science
School
School of Psychology and Social Science
RAS ID
4301
Abstract
The aim of the present study was to explore whether identifiable member clusters exist in retirement savings decisions by considering the investment choice history of the members of four large Australian retirement savings funds. We used a two-step cluster analysis to examine whether well-defined subgroups exist as identified by their investment choices and member demographics. Funds were tested individually and collectively using a range of variables. Distinct groups were found, varying along gender and age lines. There were also clear distinctions between the groups in terms of the risk of the investments they chose. Future work is discussed, including the refinement of variables selected.
Comments
Speelman, C. P., Clark-Murphy, M. C., & Gerrans, P. A. (2007). Decision making clusters in retirement savings: Preliminary findings. Australian Journal of Labour Economics, 10(2), 115-127. Available here