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Decision Making Clusters in Retirement Savings: Preliminary Findings

Author

Listed:
  • Marilyn Clark-Murphy

    (Edith Cowan University)

  • Craig P. Speelman

    (Edith Cowan University)

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 sub-groups 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.

Suggested Citation

  • Marilyn Clark-Murphy & Craig P. Speelman, 2007. "Decision Making Clusters in Retirement Savings: Preliminary Findings," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 10(2), pages 115-127.
    • Handle: RePEc:ozl:journl:v:10:y:2007:i:2:p:115-127
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    References listed on IDEAS

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    Cited by:

    1. Craig Speelman & Marilyn Clark-Murphy & Paul Gerrans, 2013. "Decision Making Clusters in Retirement Savings: Gender Differences Dominate," Journal of Family and Economic Issues, Springer, vol. 34(3), pages 329-339, September.

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    More about this item

    Keywords

    Retirement; Retirement Policies; Investment Decisions; Personal finance;
    All these keywords.

    JEL classification:

    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance

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