NBER study reveals millionaires' balanced investment strategy

A National Bureau of Economic Research study analyzing over 1,000 millionaires reveals their investment strategies differ significantly from average investors, prioritizing professional advice and risk assessment over cash needs. Millionaires allocate portfolios with 53.3% in stocks, 20.1% in financial instruments, 5.9% in real estate, and 4.1% in government bonds, showing a more conservative approach than expected. They focus on balanced risk and potential rather than loss avoidance. Notably, 15% of millionaires invest 10% of their net worth in a single company, driven by confidence in identifying superior investments. They reject the notion that higher returns always require greater risk.