Millionaire predictions for 2015
Do the rich think they're getting richer in the new year? The latest CNBC Millionaire Survey showed most Americans with at least $1 million in investable assets expect bigger returns on their investments and another year of growth for the economy. As long as politicians in Washington don't screw it up. Here are eight things America's millionaires are expecting from 2015.
—By David Spiegel, CNBC staff
Posted 16 December 2014
Men showed a significantly more bullish outlook on the economy for 2015. Fifty-three percent of men say the economy will be stronger in 2015, compared to just 42 percent of women. Seventeen percent of women say the economy will be weaker, compared to just 10 percent of men.
Democrat millionaires were also markedly more bullish than Republicans and Independents, with 67 percent of Dems saying the economy will be stronger or much stronger in 2015, compared to just 43 percent of Republicans and 46 percent of Independents.
Source: Spectrem Group
Seventy percent of all millionaires think the S&P 500 is headed higher by at least 5 percent in 2015. Millionaire Democrats proved to be much more bullish than millionaires of other political views. Nineteen percent of Republicans and 15 percent of Independents think the bull run will end next year, compared to just 9 percent of Democrats.
Stocks will remain the millionaire's preferred investment choice for the next 12 months. Forty-nine percent of millionaires say they'll invest in stocks next year. Younger millionaires are more likely to invest in international stocks or funds, in real estate and in alternative investments, like hedge funds or private equity, than older millionaires.
Not much will change in sector-based investments in 2015. Technology remains the sector most likely to get the greatest amount of investments next year from the under-55-year-olds, while financials will stay the top choice among the 55-69 crowd, and those over 70 will remain most likely to choose energy.
Overall, 22 percent of millionaires expect their household incomes to rise by at least 5 percent in 2015. That number is much higher among those with $5 million or more in investable assets. Thirty-five percent of that group expects a big raise next year.
On the downside, 10 percent of working millionaires and 15 percent of semiretired millionaires expect at least a 5 percent drop in income next year, suggesting a substantial number of millionaires getting ready for full retirement in 2015.
Here's some good news for the new year for airlines and hotels: 30 percent of millionaires plan to spend more next year on travel than they did in 2014, while only 10 percent plan to spend less.
The worst news is in collectibles. Sixty-nine percent of millionaires said they didn't spend anything on collectibles in 2014, and only 3 percent plan to spend more next year, while 15 percent plan to spend less.
No matter how you slice it, a majority of millionaires say government dysfunction will be the biggest threat to the U.S. economy in 2015. Troubles in Washington weigh on roughly equal numbers of Republicans and Democrats, men and women, young and old. Global unrest came a distant second.
Congress should listen up: 93 percent of millionaires say they voted in the 2014 midterms. What do they want from the newly elected Congress?
Thirty-five percent of Republicans, whose party will take over control of both Houses of Congress in January, want a repeal of the Affordable Care Act, while 23 percent want corporate tax reform first.
Twenty-six percent of Democrats want to see Congress raise the minimum wage, and another 26 percent want immigration reform to be the Legislative Branch's first priority.