Cryptocurrency ranks as the least preferred retirement savings option for 401(k) plan participants, according to a survey from digital 401(k) plan provider Ubiquity Retirement + Savings released Thursday.
Just 3.5% of 558 plan participants included crypto among their top three options for saving for retirement, with more (7.3%) favoring gold.
The vast majority of participants (84.3%) favored 401(k) plans as the way to save for retirement, followed by stock and bond investments (40.8%), savings accounts (36.8%), real estate (33.2%) and checking accounts (15.7%).
“With continued turmoil in the crypto space and huge amounts of volatility, I’m not surprised to see 401(k) plan participants shy away from crypto as an asset class for retirement savings,” said Chad Parks, founder and CEO of Ubiquity, in a news release.
The survey also found that 61.9% of plan sponsors and 57.4% of financial advisers are concerned about how a recession may impact the performance of 401(k) plans in 2023. Worries about inflation and poor investment returns also ranked high for both groups.
The survey polled 1,100 plan participants, plan sponsors, financial advisers and solo entrepreneurs in the fourth quarter of 2022. Of the 1,100 respondents, 558 were plan participants.