Australians Should Put Finances At Top Of 2010 Agenda

Deposit War But Who Can Be Bothered?

Results from Citibank Australian Wealth Survey show Australians should put finances at top of 2010 agenda

* 62.2 percent admit to lack of knowledge about investing to build wealth
* 57.5 percent have no idea what rate they're getting on their savings account
* 17 percent believe their savings will meet financial commitments in retirement
* 34 percent enjoy researching and finding out about new investments

Sydney, 30 December 2009: The latest Citibank Australian Wealth Survey paints a picture of Australians lacking motivation to find the best financial solutions, despite the majority admitting to having insufficient savings for their future.

According the survey, 57.5 percent of Australians don't know the interest rate on their savings account and only 13.5 percent shifted their savings into an account with a higher rate of interest over the past 12 months. Only 10 percent of those surveyed moved their savings account to a different bank to reduce their fees and charges.

Lack of motivation to maximise savings is one thing but the survey also found that most Australians do not even have sufficient savings. Only 17 percent of those surveyed said they were very confident their savings would allow for a comfortable lifestyle during retirement and 62.2 percent admitted not having sufficient knowledge in investment planning to change their situation.

According to Andrew de Graaff of Citi Wealth Management, the results indicate most Australians are not taking the simple steps to get the most from their money.

"Our research has found that overall, Australians lack the desire or motivation to take action to improve their financial situation.

"When it comes to money, a small amount of effort can go a long way. Online and internet banking means it's never been easier to open a high interest account. There are great rates and products on offer if you are willing to make the effort to move your money,"

The survey also found that 66 percent do not enjoy conducting their own research
about investment options and only 37.8 percent believed themselves to have a
considerable level of knowledge about investment planning.

"I'd urge Australians to find the best deals and learn about the investment options open to them. And if this is still too difficult, get some professional advice." Mr de Graaff said.

-Ends-

Citibank's Top tips for the Financially Lazy
1. Research: There are now many independent consumer websites available to compare investment and banking products. Let the experts do the analysis for you and make an informed decision based on a range of options. Visit http://www.canstar.com.au/ or http://www.infochoice.com.au/
1. Copy: Read books written by financially successful people. Learn from their advice and adapt their tips to suit your own needs.
2. Discuss: Visit a financial adviser or your bank and discuss your investment goals. Don't be afraid to ask questions!
3. Read! Most newspapers and websites provide easy to understand information about financial planning and investments. Take the time to become informed.

Full report: www.citibank.com.au

Research methodology
The Citibank Australian Wealth Survey was conducted by Newspoll in September 2009. The survey was fielded by telephone among a national sample of 1,085 people aged 25 years and over.

Media enquiries:

Kristen Kaus
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M: 0421 380 773
[email protected]

Leila Dean
T: (02) 8225 1223
M: [email protected]

Citi, the leading global financial services company, has some 200 million customer accounts and does business in more than 100 countries, providing consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, and wealth management. Citi's major brand names include Citibank, CitiFinancial, Primerica, Banamex, and Nikko. Additional information may be found at www.citigroup.com or www.citi.com.

Any advice is general advice only. It was prepared without taking into account your objectives, financial situation or needs and because of that, before acting on the advice, you should consider the appropriateness of the advice, having regard to your objectives and personal circumstances. Citigroup Pty Limited ABN 88 004 325 080 holds an Australian Financial Services Licence (AFSL) No. 238098.


SOURCE: Citibank