Though unemployment hit 5%, the HNW seem unconcerned about losing their jobs, though the concern about a spouse losing their job rose slightly. When asked in March of this year if they felt the company or business they work for would be negatively affected by the economic environment, 31% agreed with that statement. When asked again in May, only 19% agreed. This decrease in concern is surprising considering the overall national focus on the country’s financial situation and may be more of a correction than anything else.

In general, the looming recession, higher unemployment, gas/oil prices and real estate debacle has hit the HNW later than the average investor. CNN reported that the housing crisis is hitting the prestigious 90210 zip code in Beverly Hills and other affluent Meccas like Greenwich Connecticut. “Three of the nation's richest zip codes saw particularly steep home-price declines in the three months ending April 30, compared with the previous three months” states CNNMoney’s writer Lee Christie. When asked if the decrease in real estate prices had been very detrimental to their overall net worth, 30% of the affluent agreed, and it is predictable that if the country’s financial woes drag on, this will increase.

Both personally and professionally, wealthy investors are being affected by the economic climate. How they react in the coming months will be important to watch. Now is the time to touch base with clients and ask how their business is faring, planning for the worst while hoping for the best, and keeping a watchful eye on the key indicators like unemployment and fuel prices.

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