Did you know 66 percent of children fire their parents’ financial advisor after receiving an inheritance? Millennials, whether inheriting money or earning their own nest egg, are a new breed of client for most wealth managers.

Millennials are likely not as unique as they are generally perceived to be when it comes to their financial needs. But, what most of these digital natives do want is a change in the types of conversations they have with wealth managers. They also expect a different type of service than it was provided to their parents’ generation, to help them seek to achieve their goals.

First, the conversation—Millennials usually:

  • Want to plan for long term goals (retirement), but also invest in short term goals (education, travel)
  • Need to discuss achieving financial independence through understanding cash flow, cash management, and income
  • Hope to better understand their investments and how they impact the world around them

But, as we all know, talk is cheap. This audience mostly expects wealth management that goes beyond pleasant conversations. To win their business, advisors should:

  • Allow for on-demand information and monitoring, so Millennial clients can measure financial performance against goals and objectives
  • Create the roadmap or plan that shows where financial decisions will lead Millennial clients to reach their financial goals
  • Guide and empower, versus proselytize

The world is changing. Your clients are changing. And your business needs to change with all of the above. Ask yourself, is your firm:

  • Mingling human and digital interactions? Do you offer digital products, complemented by access to advisor advice?
  • Providing fully interactive servicing? Do you offer seamless services in real time with ease, speed, and flexibility?
  • Expanding value beyond the basics? Do your teams create more value-add by expanding services beyond basic offerings that your competitors cover?
  • Offering opportunities to invest in something impactful? Do you offer Millennials a wide range of environmentally and socially responsible products? (Within the United States, assets under management using similar strategies grew 76% from 2012-2014, and now account for more than one out of every six dollars under professional management.)

If you would like to discuss how to better integrate the Millennial demographic into your firm, email me, Kendra Thompson. I’d be delighted to make the time to have a more in-depth conversation.

This blog was written with support from three of our top millennial employees in the Accenture Emerging Leaders program. Special thanks to Daniel Verhave, Colleen Krimm and Frank Giacalone.

¹ http://www.investmentnews.com/article/20150713/FEATURE/150719999/the-great-wealth-transfer-is-coming-putting-advisers-at-risk
² http://www.ussif.org/blog_home.asp?Display=55

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