Fidelity Investments, one of the largest asset managers in the United States, recently released fresh numbers regarding Americans' retirement savings. The report reveals a mix of good and not-so-good news for individuals planning their retirement. According to Fidelity's findings, the average 401(k) balance fell by 4% during the third quarter. Simultaneously, there was a significant increase in both withdrawals and loans taken from retirement accounts during the same period.
The decline in retirement savings is a cause for concern as individuals rely on their 401(k) plans to fund their post-work years. The volatile market conditions and economic uncertainties caused by the ongoing pandemic have contributed to this setback. Many investors have been forced to tap into their retirement savings to cover immediate expenses or cope with financial hardships, leading to the rise in withdrawals and loans.
In addition to the disappointing retirement savings trend, Fidelity Investments faced its own set of challenges. The company recently experienced issues with its website, Active Trader, causing inconvenience for its customers. Many users took to social media platforms, including Downdetector, to express their frustration over the inability to access their accounts and make transactions. However, Fidelity has assured its customers that the issues have been resolved, and their systems are now functioning normally.