Not all millionaires feel wealthy, according to survey comprised of 4,500 affluent investors conducted by UBS. Individuals who did not reach US$5 million did not consider themselves wealthy. They comprised 70% of survey respondents.
Only when they hit the US$5 million mark did survey respondents feel they were wealthy. This target or mark gave respondents a feeling of having "no constraints on activities," noted the survey. When they have US$5 million, respondents felt money was no longer an object.
In addition, the survey also found that respondents needed to have a substantial amount of cash to feel secure. Around 20% of their assets should be in cash, said the survey, for their peace of mind.
"Holding a significant amount of cash is a critical component of investor confidence, as investors believe these are assets they won't lose," the survey said. "Investors aren't quick to forget the significant losses they endured in 2008," added the report.
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