Reuters: Why you may retire in poverty

[hay rick]

43. Ironically, part of the problem is excess savings.

As the rich have confiscated an ever greater share of income that used to go to the middle class, they have run out of places to invest it. Stagnant incomes for the majority of the population means declining consumer demand and an economy that is running far below full utilization. With excess capacity in much of the economy, there is little call for capital investment in productive industries.

Corporations are also sitting on record levels of cash.

Middle class people who are still able to save find that there is little demand for their savings and must settle for meager returns or seek out increasingly risky investments. The latter is a really poor idea if the funds are intended for retirement.