The Danger in Being Too Risk Averse

While many Americans came out of the recession feeling like they were in better control of their finances, one age group has definitely been the most affected by the financial crisis of 2008.

Two surveys have found that millennials (people between the ages of 18 and 36) are more proactive about financial planning than their older counterparts and that their financial views differ greatly from the majority.

In Northwestern Mutual’s 2014 Planning and Progress Study, millennial respondents were more financially disciplined than older generations. Only 14% are aiming high and pursuing investments that have a lot of growth. The study found that 30% favor “slow and steady” when it comes to financial planning, and another 30% would prefer to be more cautious, but feel they have a lot of catching up to do.

"While not quite putting money in the mattress, Gen Y definitely takes a more retro approach to how they handle their finances," Greg Oberland, Northwestern Mutual executive vice president, said in a statement. "I'm guessing they're making a lot of grandparents very proud."

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