Have you heard of the Silver Tsunami?

Estimated read time: 6 minutes and 9 seconds

GM.

This is my weekly newsletter on how to make more money for your business, and you’re going to like this newsletter, I guarantee it *the voice of Morgan Freeman*

Have you heard of the Silver Tsunami?

It refers to the biggest wealth transfer in history?

Baby boomers?are set to pass to their children a mind-boggling $68 trillion — the biggest generational wealth transfer ever, with much of that money ending up in accounts belonging to members of the Gen X and Millennial generations.

It won’t happen overnight, however and here is some things you should know?

Boomers will continue to be the wealthiest generation in the U.S. until at least 2030 when Gen X takes over, growing from 14% of total net wealth to nearly 31% in that time.

The Millennial generation will see the fastest growth rate of net wealth accumulation, though, starting from today’s lower level continuing to grow their share over the next 50+ years.

The result?

Things are going to have to change.

Investment behavior has for the most part remained fairly steady for the better part of a century. People generate wealth over the course of their lives, saving and investing it as appropriate, and the financial services industry has grown up over that time period to help them accomplish these goals.

The basic assumptions are pretty simple: a portfolio of stocks and bonds works for most people, a solid pension is a good solution for retirement, and the threshold of risk avoidance shifts with age.

There’s some variability from client to client, but generally, that is what the industry has offered for decades.

Not for long.

The younger generations think differently about their money in their personal and professional lives, and they think differently about how they want to manage it.

We’re already seeing this play out in so many exciting new startups.?MoneyLion?has rewired the American banking system, making it easier to borrow, invest, save and earn;?Yieldstreet?is making alternative investments more accessible; and payments providers like?Zelis?and?Billtrust?are changing how buyers and sellers do business together.

These names, and others, are helping expand financial services in new directions by leveraging the same types of technologies that have revolutionized other industries -- personalization, artificial intelligence, digital transactions and more.

The great thing about the new generations is their focus on wellness, mental and financial wellness.

Younger investors are more engaged in financial wellness than previous generations, putting them more in touch with their overall financial health.

Maybe it’s because they entered the workforce in the middle of a recession (the Dot Com crash for Gen Xers and the 2008 Financial Crisis for Millennials), maybe it’s because they just lived through another one, or maybe it’s because they’re still struggling to catch up to where their parents were financially at their age.

So how do they invest?

Millennial and Gen X investors want to leverage their money to make a positive impact on the world, and they understand that their parents’ asset classes might not get them there.

That’s one reason why 83% of Millennials say they are open to alternative investment strategies like digital currencies, venture capital, real estate, collectibles, and more.

That’s 30% more interest than Boomers.

They’re also more flexible in how they invest.

Having grown up with technology, from apps to Artificial Intelligence, nearly half of Millennial say they are open to using tech-based investment platforms, according to Accenture.

That’s why digital-first services like Robinhood have taken off in recent years.

All of these preferences will be coming to a head over the next 25+ years as Gen X’ers Millennials receive their inheritance from those that have come before them.

It’s up to us all to get ahead of these demands and be ready to serve this market when the time is right.

“We’re on the brink of the greatest wealth transfer in history as Baby Boomers pass the torch to new generations. The consumer has changed.

It’s a new world—a mobile-first digital one—so today I don't have an answer for you on how to benefit from this, I simply come to you with the question - is your business ready for this new wealth?

Have you eliminated the built-in friction points to better connect with consumers wherever they are, and help educate and provide access to goods and services to fuel their life goals.”

DISCLAIMER:?

None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell anything or to make any financial decisions. Please be careful and do your own research

?“My name is Jason Allan Scott?& I?have?absolutely?nothing to sell you...yet”