As the recovery from the recession continues, and Millennial incomes continue to take shape, perspectives on the misguided Millennial investor have popped up. Yes, many are behind the 8 ball with student debt and less than stellar jobs, but many in the 18-34 age spectrum are now making decent money, saving some, and are in need of a financial plan and investment advice.
But what financial advisors are looking for and what Millennials have, don’t jive. A recent Corporate Insight study posted in Bloomberg shared that “only 30% of financial advisers are actively looking for clients under age 40, according to a survey of 500 advisers.” Why – well it’s simple – they just don’t have the assets their parents do. Right now that is. But as the article goes on to point out, “the investment industry can’t ignore younger clients forever. Over time, more and more money will end up in the hands of millennials. And so far they don’t see much point in professional finance advice. Only 29% of young workers have looked to professionals for advice, an IQuantifi survey last month showed. Meanwhile, 71% asked family members and 45% turned to friends.”
Will be curious to see which ‘traditional’ firms break out from the pack – taking a little more risk with their investment products and services for this largest and fastest growing generation.
The End audience somewhat mimics what was noted in the above. In a recent listener survey, 74% shared they don’t currently utilize professional investment/wealth management services, and 61% are undecided as to when they plan to use professional investment/wealth management services. Another 9% plan to use those services in the next 0-3 years, and another 9% in 3-5 years. There is some opportunity to tap into this valuable up and coming audience!