Investors stuck with their retirement savings plans in 2010, the Investment Company Institute said Tuesday, basing its findings on data from more than 23 million defined contribution accounts.
Only 2.4% of participants stopped contributing to their 401(k) accounts in 2010, compared to 3.4% in 2009.
And most participants did not tap into their accounts. Only 3.5% of participants took withdrawals in 2010, with only 1.7% taking hardship withdrawals. This was in line with the 3.1% who took withdrawals and 1.6% who took hardship withdrawals in 2009.
Outstanding loans, however, rose to 18.2% last year, up from 16.5% at year-end 2009.
Further, most investors stayed the course with their investments, with only 10% reallocating their investments last year, ICI reported.
Lee Barney writes for Money Management Executive, a SourceMedia publication.
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