The Wealth Holders of Tomorrow

The transfer of wealth between the “Baby Boomer” generation and Millennials is something that has recently come up as a topic of discussion within the financial services industry. 2015 is the year Millennials are projected to surpass boomers in population, a population that is expected to leave trillions of dollars to the next generation over the next 50 years. In Generation X and Y as the New Wealth Holders: The Implications of a Generational Shift in Financial Advising Clientele, Professor Helen Simon and I explore this projected wealth transfer and the implications it will have on the financial advising industry in years to come.

This article appears in the Spring 2015 issue of The Retirement Management Journal.

Millennials – The Next Great Client Base

In studying the US client base within the financial planning industry, millennials are projected to be the bulk of the next wave of new financial planning clients. In “ordinary” circumstances this would simply mean that millennials will be taking the place of their baby boomer parents as the nation’s premier wealth-holding clients of financial advisors. Given the the technological advancements that have come of age in the financial planning industry, and the expectations tech-savvy millennials have of service providers in general, this generational transformation signifies the necessary change financial advisors must endure in order to meet client demands and expectations in the age of Twitter, Instagram, and crowd sourcing. This article discusses (1) the eventual generational transformation in financial advising clientele, (2) how the repercussions of such transformation will affect the financial advisory business model, and (3) proposed problem-solving ideas for future implementation. This piece was co-authored by myself and Helen K. Simon, and is published in the June 2014 issues of  Life & Health Advisor.

Millennials – The Next Great Client Base