Attention Financial Advisors - Get Ready For The Upcoming Generational Wealth Transfer...

Estimates vary, but over the next 25 years we will see the greatest inter-generational transfer of wealth in history. Research firm Cerulli Associates pegs this number at $68 trillion. This isn’t an event that will happen all at once 25 years from now, its already happening as older parents and grandparents die. This is a great opportunity for financial advisors to grow their business, are you ready to take advantage of this opportunity?

The Next Generation

Much of this wealth will be transferred to Millennials, already a force in terms of their sheer size. Millennials are different than Boomers and older generations. Millennials were born between 1981 and 1999 and have grown up with the internet. They are tech-savvy, and this pervades all areas of their lives including their investments and personal finances.

Millennials want advice in fact they are as likely or more likely than prior generations to seek the advice of experts. However, they want this advice delivered to them on their own terms and in ways that they can access when it’s convenient for them. Millennials are comfortable working with an advisor virtually and remotely. They are not necessarily looking to come to your office for a formal, face-to-face meeting.

Beyond other human advisors, robo advisors have appeal to Millennials as well, like it or not they are part of your competition for Millennial clients.

Attracting and Retaining the Next Generation

Estimates vary, but some estimate that 80% or more of the next generation will do business with an advisor other than the one used by their parents. In order to retain these inheritors and to attract new Millennial clients, advisors will need to adapt the way in which they deliver advice. This doesn’t mean that your expertise isn’t valued, it certainly is. But its important to understand that Millennials want an advisor in whom they can have trust, as well as one who will communicate with them via their smartphones and other ways in which they are comfortable.

The same goes for attracting these types of clients. Millennials are not looking to work with their parent’s advisor, they want an advisor who “gets them” and their needs. While many of the services may be similar to those rendered to their parents and prior generations, Millennials face their own unique challenges as well.

Advisors who want to grow and remain relevant in the future will look at ways to scale their business to deliver top-notch advice to this next generation of clients in an accessible and transparent fashion. Moreover, they will work to gain an understanding of the advice needs and expectations of this new generation of clients.

Financial Advisors who want to see how our platform at Optimize Wealth can give them a major competitive edge in this inter-generational transfer of wealth era can reach out to me for a confidential discussion at (416) 907-6733 or email [email protected]

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About The Author: Matthew J. McGrath, Senior Partner, Head of Advisory Channel and Corporate Development at Optimize Wealth Management, has been in the Wealth Management Industry for over 25 years. At the beginning of his career, Matthew started out as a Portfolio Manager at RBC and quickly climbed the ranks to become one of their youngest Executive Council Vice Presidents.

Since making the move to Optimize Wealth Management over ten years ago as a Portfolio Manager, Matthew has become Senior Partner, Head of the Advisory Channel and Corporate Development, who has helped Optimize reshape the investment industry through it’s full service approach, complete transparency and total objectivity. Client’s are provided with a full suite of Financial Services including Comprehensive Wealth Advice, Financial Planning, Investment Management, Tax Preparation, Will/Estate Planning, Mortgage and Insurance Advisory Services. This is all done through a No Load Fee Structure. 

As Head of our Advisory Channel, Matthew is now fixated on helping our associates, advisors, portfolio managers, and branch teams to continue to deliver this same exceptional service and premium advice to our clients.

Financial Advisors who are interested in the Optimize Wealth Platform and who would like to learn more by having a confidential discussion with Matthew should contact him through his LinkedIn page or his email: [email protected]