Investors aren’t waiting out uncertainty

COLUMBUS, Ohio – Inflation and market volatility have created one of the most complex financial environments in recent memory, causing more than three in four (77%) non-retired investors to be concerned about a U.S. economic recession over the next 12 months. However, recent data from the Nationwide Retirement Institute reveals that rather than retreating, a growing number of Americans are leaning in.

The study shows a notable shift from caution to action, with investor activity at some of the highest levels tracked across the study. One in three (33%) non-retired investors say they will change their retirement savings approach over the next 12 months by planning to take advantage of investment opportunities now, up from 21% in the summer of 2024. More than one in five (22%) say they plan to manage their investments more aggressively, up from 16% in 2024.

The data also shows an emerging sense of stabilization in retirement planning, even as concerns remain elevated. Just 15% of non-retired investors say they plan to retire later than planned, down from a peak of 22% in 2024. The number of investors who don't know if they will ever be able to retire (11%) is down from a high of 16% in 2024.

"Investment markets reached all-time highs this summer in the face of elevated volatility, reflecting a shift in how investors are interpreting uncertainty. Rather than viewing volatility as a signal to step aside, many may be viewing it as an opportunity to be offensive versus the historic instinct to turn defensive,” said Mark Hackett, chief market strategist for Nationwide’s Investment Management Group. “We're seeing them use these periods of volatility to rebalance, diversify and position themselves for future growth, recognizing that participation, not timing, is often the key driver of long-term outcomes.”

Many investors still lack a plan

Even as investors show increased confidence and a growing willingness to take action in a volatile environment, many still do not have formal strategies in place to protect their retirement savings.

Nearly three in ten (29%) non-retired investors say they do not currently have a strategy in place to protect their assets against market risk, and one in ten (10%) non-retired investors say they are not sure if they do, pointing to a need for clearer and more frequent conversations between advisors and clients about what is actually in place.

Advisors are leaning into protection solutions

Advisors who say they have a market risk protection strategy in place for their clients are evolving their use of retirement solutions in line with the current environment. Six in ten (60%) advisors say the events of the last 12 months have made them more likely to recommend a guaranteed income solution as part of a client’s portfolio. Use of registered index-linked annuities (RILAs) among advisors with a market risk protection strategy has grown from 39% in the summer of 2023 to 52% in 2026, a 13 percentage-point increase over three years.

Data suggests that advisor momentum toward guaranteed income solutions is meeting a receptive audience with clients. More than half (57%) of non-retired investors say recent events have made them more likely to put part of their portfolio in an annuity or other guaranteed income solution.

Advisors are also tracking a number of potential threats to clients’ long-term plans. Nearly a quarter (24%) say the cost of healthcare is among the most immediate challenges to their clients' retirement portfolios. They’re also tracking systemic risks to the programs and policies clients have long planned around. More than half (55%) of advisors say they believe Social Security or Medicare funding will be reduced, with 40% specifically citing Social Security solvency as a concern. Additionally, nearly three in five (58%) advisors expect the future tax burden for clients to increase.

"Advisors can play a critical role in helping clients balance growth and protection by building strategies that don't force an either-or decision," said Brad Carrier, vice president of Nationwide Annuity Distribution. "Through asset allocation, diversification and the use of solutions like annuities that incorporate downside protection, advisors can help clients stay invested during periods of volatility while managing the emotional and financial risks that sometimes lead to hasty decisions."

Nationwide's Retirement Institute survey, formerly known as the Nationwide Advisor Authority survey, explores critical issues confronting advisors, financial professionals and individual investors, and the innovative techniques that they need to succeed in today's complex market.

About Nationwide Retirement Institute Survey: Methodology
The Harris Poll, on behalf of Nationwide, conducted an online survey in the U. S. among 528 Advisors and Financial Professionals and 2,012 investors ages 18+ with investable assets (IA) of $10K+, from January 15-February 6, 2026. Among the investors, there were 1,411 non-retired investors and 691 retired investors.

Respondents for this survey were selected from among those who have agreed to participate in our surveys. The sampling precision of Harris online polls is measured by using a Bayesian credible interval.  For this study, the sample data for advisors is accurate to within ± 4.3 percentage points using a 95% confidence level. For investors data is accurate to within ± 2.9 percentage points using a 95% confidence level. This credible interval will be wider among subsets of the surveyed population of interest.  For complete survey methodology, including weighting variables and subgroup sample sizes, please contact [email protected].