Culture Counts Money-management strategies.

According to a recent national survey of investors done byresearch firm Roper Starch Worldwide, culture can influenceinvestment decisions. Conducted for Ariel Capital Management Inc.,a black-owned and operated mutual fund company in Chicago, thestudy found that blacks invest more conservatively and expectlarger returns in a shorter time period than do nonblacks. Thestudy also found that while stock and mutual fund investments areat an all-time high, most blacks do not invest in them.

The reasons behind blacks' investment decisions may have todo with perception of risk. Black investors tend to be comfortablewith a moderate amount of risk but typically don't want to tieup their money for a long time, says Stacy Bereck, senior projectdirector with Roper Starch. And that, in turn, may affect the typesof investments they make.

Educating employees about retirement plans could make adifference in where blacks invest, says Mellody Hobson, a seniorvice president with Ariel. "Mutual funds and stocks aredemonstrated wealth creators," says Hobson. "It'simportant to help employees understand that long-term investorshave the opportunity to withstand the volatility of the stockmarket."