The results of a survey released today by Charles Schwab & Co. says that 72% of investors have changed the way they invest in the wake of Enrons notorious financial implosion. But 34% of the respondents said they dont know anything about their mutual funds top stock holdings.
In addition, 35% said they have only a general idea about their funds allocations and 21% said they are "very clear" on the matter.
"Without a clear picture of all the investments you hold in all the accounts in which youre investing you may be even more heavily weighted in a particular stock than you know," said Schwabs VP of consumer education Carrie Schwab Pomerantz. "You may be loading up on company stock in your 401(k) at work, plus have money invested in mutual funds elsewhere that have the very same stock among their top-ten holdings."
The study, which questioned 620 adults who invest in 401(k) plans, also showed that 33% of investors are less confident than they were a year ago regarding their ability to choose sound investments. Fifteen percent said they worry more about their holdings. And 22% said they pay more attention to the advice of a financial advisor.