Are all millionaires wealthy? Not if you ask them. A whopping 70% of those with at least $1 million in assets that are invested or available to invest, excluding home values, don’t consider themselves to be wealthy, according to a survey of 4,500 affluent investors by UBS. CNN Money reports:
Rather, it’s only when they hit the $5 million mark that millionaires begin to feel “wealthy.” Why $5 million? Apparently, that’s the level at which most rich people feel they have “no constraints on activities,” according to the survey.
In addition to feeling like money is no object, most wealthy people also find it important to hold a substantial amount of their fortune in cash because it helps them feel more secure.
“Holding a significant amount of cash is 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.”