Connecticut is the top-scoring state, and Los Alamos, N.M., is the top-scoring community, for personal-savings and investing behavior, according to A.G. Edwards & Sons Inc.
Connecticut is the top-scoring state, and Los Alamos, N.M., is the top-scoring community, for personal-savings and investing behavior, according to A.G. Edwards & Sons Inc.
The St. Louis-based brokerage firm recently released its third annual Nest Egg Index, in which it ranked the 500 top-performing communities and the 50 states in those regards. In compiling the index, A.G. Edwards measured a dozen statistical factors, including participation in retirement savings plans, personal-debt levels and homeownership.
Communities that ranked highly in the index continue to benefit from strong local housing markets and show a high propensity for saving in retirement plans such as 401(k)s or other pension plans, the company said in a release.
The high-ranking communities had higher costs of living than the national average, A.G. Edwards said, but most of them also had lower debt levels.
Mississippi was the lowest-ranked state in the index, and Birmingham-Hoover, Ala., was the lowest ranked of the 500 communities in the index.
"When looking at the state rankings, we can see clearly that the Midwest continues to be the geographic area where more residents are actively working toward building their nest eggs," said Sophie Beckmann, A.G. Edwards' personal-finance strategist, according to the release. While economic and employment conditions can hinder savings, she said, "the traditional axioms of starting early and developing a disciplined approach to saving are personal choices investors make that help them in the end."
