Financially secure retirement: A priority among investors of all ages; Aetna expert offers investors tips for retirement planning.

HARTFORD, Conn.--(BUSINESS WIRE)--March 13, 1995--A secure retirement is the most pressing issue for investors of all ages, with many of today's older investors feeling the stress of late retirement planning, according to a recent investment trends survey conducted by Aetna Mutual Funds.

The majority of the 300 participants surveyed ranked retirement first among their most important investment objectives. Surprisingly, young investors, those between 25-44 years of age, ranked retirement above the need to provide for their children's college education.

Even after reaching age 65, older investors are still concerned about providing for their retirement. More than one-third of the respondents over age 65 ranked retirement planning as the most pressing financial objective facing them today -- even above leaving an inheritance to their children or providing for their surviving spouse.

"Years ago when people planned for retirement they were looking at 10 to 15 years of life after retirement. This required less money to live on," says Christian W. Thwaites, vice president of Aetna Life Insurance and Annuity Co. "With today's longer life expectancy, the older investor is now looking at 20, 30 or more years of retirement, and the money they saved may not be enough to make it through those golden years."

The survey found early planning to be the best path to a secure retirement. Respondents of all age groups ranked the early creation of an investment and savings plan, and regular post-retirement planning sessions with an investment professional, as the most essential financial tools to help ensure secure retirement years.

"What we see in the field and through this survey is that investors of all ages are thinking ahead to their retirement years a as a time of activity," says Thwaites. "I believe many younger people are learning from their parents' experiences and realizing they can't count on social security or their company pensions alone to support them in their later years."

Older investors said they now wished they had received investment guidance earlier in life. Many of the over 65 participants ranked "when the got out of school" and "when the got their first job" as the preferred times to have been offered such guidance, according to the survey.

Thwaites notes, "Whether you are 30 years away from retirement or two years away, there are investment strategies that can help you make the most out of your retirement dollars."

Thwaites suggests the following retirement planning tips to investors.

Young Investors - Those in their 20s and 30s

o Take advantage of your long-term investment horizon. You have the time to ride out the short-term ups and downs of the stock market, so you may want to invest in growth-oriented funds.

o Start putting some money away -- even if it's only $10 per month. This will help you develop solid financial habits and start you on the path to financial security. While retirement may seem years away, it is wise to start saving as soon as you are able.

o Take advantage of dollar-cost-averaging. There are mutual funds available that will allow you to dollar-cost-average for as little as $50 per month, which is regular, systematic investment. This investment strategy neither ensures a profit nor guarantees against loss in a declining market.

The Middle Years Investors -- Those in their 40s and 50s

o Continuously assess your financial situation during these years of your life. It is important to gain a full understanding of the benefits owed to you from your pension, IRA, annuities, Social Security and investment portfolio.

o These are your highest earnings years. You may maximize your investments by building a diversified portfolio that focuses on potential growth as a primary objective.

The Retired Investors - Your 60s and up

o Once you've entered your retirement years you may still want to retain some level of growth potential in your portfolio, but a steady income could be your top priority.

o As always a diversified portfolio is important and should include a conservative mix of stocks, bonds, and cash vehicles during these years of your life.

Aetna Mutual Funds conducts a quarterly investment trend survey of mutual fund owners. The telephone interviews of 300 people nationwide are conducted by Research Corp. of America, Conshohoken, Pa. The results have an error rate of +/-4.5 percent.

Aetna Mutual Funds are managed by Aetna Life Insurance and Annuity Co. (ALIAC), and are distributed by Aetna Investment Services Inc. Aetna Mutual Funds currently offers 10 funds available through more than 600 agents nationwide.

A prospectus containing more complete information, including charges and expenses, is available upon request. Read it carefully before you invest or send money. To learn more about the funds, to receive a current prospectus, or to locate a local Aetna representative, contact 800/238-6263.

CONTACT: Mullen

Tara McKenzie, 508/468-1155, ext.126