Be prepared to save more, reduce debt and potentially work longer to reach your retirement savings goals. That was the sobering message sent by Jonathan Scott, associate professor of finance at Temple University’s Fox School of Business, earlier this month at WHYY studios.

Scott made the remarks to more than 50 supporters of the PBS affiliate at an event titled “Safe Money in Tough Times.” He was joined by Jonathan Pond, financial expert and regular PBS contributor, and Michael Gombola, professor and chair of finance at the LeBow College of Business at Drexel University. The speakers addressed questions on the mind of many during these challenging economic times, including: Should I pull my money out of the market? How can I be sure to have enough money when I retire? Will I have enough to send my children to college?

Scott shared some of these concerns.

“I am more pessimistic than many people, including the other speakers at the event, about the likely returns from the stock market in the future,” he said. “I think they’ll be lower than they have been, which is why we will need to save more and work longer.”

Scott discussed the risks of being an investor and the importance of understanding sales costs when investing in mutual funds for retirement. He also spoke about issues in the macroeconomy and the likely outlook for much lower equity returns, not the 10-12 percent that is often referred to based on historical performance.

Two former students of Scott’s, both 2008 MBA graduates, said the event provided them with great insight into how to sustain themselves during these tough economic times.

“Dr. Scott’s talk reinforced my commitment to save more and spend less,” said Nancy-Jo Bischop, who works in multi-channel marketing at Merck Pharmaceuticals. “His classes were always relevant to the news of the day and helped make me aware about what I should know about the stock market. This event accomplished the same thing.”

Carole Lynn Wishneski, involved in global medical affairs for Wyeth Pharmaceuticals, also thought the event was particularly relevant and timely.

“The information Dr. Scott provided about refinancing your mortgage, getting your debt under control and effectively managing your investments was extremely helpful,” she said.

“I didn’t expect such a large crowd,” Dr. Scott said, “but obviously people are very nervous. It was a sobering conversation, but one that was important to have.”

— By Lori Bookbinder