On the heels of the news that Goldman Sachs Group Inc. will sell a controlling stake in a U.K.-based hedge fund to the U, a new survey by Morningstar Inc. finds the U is not the best place to invest.
While the U., with its robust economic growth and robust financials, has become a great place to put money in, it still falls short in terms of being a good place to retire.
As the U.’s stock market has continued to rally, investors have become more and more comfortable with the idea of putting money in U.s stocks.
That’s in part because of its relatively low expense ratios, Morningstar says.
In a study conducted for Morningstar, it found the U ranks just 37th in the world in terms, with a median expense ratio of 1.5.
That compares with the OECD average of 2.5, which is lower than the U’s average of 3.5% in the survey.
The U also ranked last among the 35 countries in the Organisation for Economic Co-operation and Development, which measures the performance of the economies of 35 OECD countries, including the U with a score of 35.
The U ranks 22nd in the OECD in terms and a median of 1%.
For investors, the U has the third-lowest median cost ratio, after China and Russia, according to Morningstar.
That could be because the U was a relatively low-cost country until the Great Recession hit, said Jason Miller, chief investment officer at Morningstar Investment Management.
In the past year, the number of American workers earning at least $60,000 annually has fallen to its lowest level in the past 30 years, and the number with $100,000 annual earnings has fallen from a peak of nearly 23 million in 2009 to around 19 million today.
In addition, the share of Americans with debt, and particularly student debt, has fallen significantly in recent years.
This is partly because of the Great Credit Crisis, which forced many Americans to pay down debt to the extent of $1.5 trillion in credit card debt in 2012.
It also has contributed to the recent economic turmoil, as many Americans are taking on debt to fund their educations and careers, said Miller.
The decline in wages and benefits for workers also is a factor.
A 2014 study by the National Bureau of Economic Research found that the cost of education rose sharply in recent decades as the U took a large bite out of the wages of workers, and as the share and size of public school students fell.
“It is possible that the current economic environment has led some U. S. employers to cut their wages and benefit packages,” Miller said.
“That could lead to some workers with more disposable income and fewer job opportunities, and it could increase the amount of money they are able to put towards retirement.”