Recent research into investor attitudes from Kemper Funds and 50-Plus Communications Consulting, a leading firm specializing in marketing investment products to America's aging population, is part of a unique approach to investing called Client Life Stage. The approach shows that people, particularly as they grow older, are more likely to listen and respond to an investment opportunity if it speaks directly to their life-stage experience.

Kemper Funds believes this approach will help investment advisors work with their clients to select investing strategies and investment products that enable people to feel comfortable and make progress toward meeting long-term financial goals. Kemper Funds has identified five groups that share affinities that influence investment goals: Elders (75 - older), Matures (65 - 75), Pre-Retirees (55 - 65), Leading Boomers (age 45 - 55) and Young Boomers (35 - 45).

Wealth Preservation Important

Although investors classified as Pre-Retirees, Matures and Elders are the wealthiest, and have the most to gain from investing in technology stocks, their investment goals and attitudes were shaped by events like World War II and the Great Depression. Because these people witnessed social upheavals first hand, they tend to favor conservative investments that provide income over growth.

"It might seem like an eye opener to discover that the very investors who stand to benefit most from the bull market refrain from investing in it," said Howard Schneider, Director of Marketing, U.S. Retails, Scudder Kemper Investments, Inc. "But from an attitudinal standpoint it makes sense. Given their life experiences, they value security more than the creation of wealth."

Schneider noted that investors over the age of 55 also tend to rely on government and pensions for future financial security, but share a common concern over providing for themselves and loved ones as they enter their later years. Because they often feel uncomfortable with investing in the stock market, people over 55 prefer investments that are FDIC insured, have government guarantees and promise to beat inflation.

Diversification Consideration

However, according to Kemper Funds, people over 55 should consider diversifying their portfolios with investment grade debt and equities. In this case, Kemper Funds urges these investors to consider high-grade corporate bonds and dividend paying stocks of large-cap companies.

"Our goal is to help older investors become more aware of the attitudes that influence their investment decisions," Schneider said. "Once they understand why they think about investments in certain ways, then these people can work with an investment advisor to develop strategies that complement their sensibilities and help them reach their financial goals."

Schneider also said that Kemper Funds Client Life Stage is a program unique in the mutual fund industry, and that the company has made this information widely available to the investment advisors, whose advice the company urges investors to seek.

About Scudder Kemper Investments, Inc.

Scudder Kemper Investments, Inc. is one of the leading investment management organizations worldwide, managing more than $290 billion in assets globally for mutual fund investors, retirement and pension plans, institutional and corporate clients, insurance companies and private family and individual accounts. It is one of the 15 largest mutual fund companies in the United States. Scudder Kemper is the investment adviser to Kemper Funds, which consists of 50 open-end funds with over 94 portfolios. Kemper Funds has more than $50 billion in retail assets and over 2.5 million shareholder accounts