Funder: FINRA Investor Foundation
Data from ABLE programs has identified two interesting and related issues. First, almost half of ABLE account owners choose a risk-free savings account option rather than an investment account with a potentially higher return. Second, many prospective ABLE participants begin filling out the ABLE application but exit at the point they are asked to choose an investment option. NDI will be proposing a study to the FINRA Investor Education Foundation to assess the risk preferences of ABLE Account Holders in order to determine whether their risk preferences limit the amount they could benefit from the account. The study would include a survey of ABLE Account holders and an analysis of state data.