EXHIBIT 1
Top Concerns Among Clients Of Different Generations
Common Concerns
• The impact of current market volatility on their ability to reach their long-term goals .
• Dealing with the rising cost of health and long-term care .
Younger Generation ( age 35 to 44 )
• Ensuring their family is taken care of when they pass away .
• Having the time to spend with their family .
Juggle Generation ( age 45 to 54 )
• Having enough money to retire comfortably .
Transition Generation ( age 55 to 64 )
• Ensuring their children make good financial decisions .
Mature Generation ( age 65 to 74 )
• Personal or family health .
Source : Absolute Engagement , Building a Bridge to the Next Generation webinar , June 2024
EXHIBIT 2
Generally , Younger Clients Prefer More Contact
How often do clients want to meet with their advisors to discuss their portfolio in the next 12 months ?
■ Four Times ■ Five Or More Times
19 %
|
18 %
18 %
|
29 % |
5 %
27 %
|
6 %
16 %
|
4 %
20 %
|
7 %
23 %
|
Age < 35 Age 35-44 Age 45-54 Age 55-64 Source : Absolute Engagement , Building a Bridge to the Next Generation webinar , June 2024
Age 65-74 Age 75 + today ? Estate planning software might be an efficient way to help cover those bases . ( See Exhibit 1 .)
2 . Advisors should identify and understand an ideal client for estate planning . Considering your existing client base , who does it make sense to propose estate planning services for ? What are the preferences and motivators of next-gen clients ? Do you have access to the technology they prefer , and can you deliver the communication style they are looking for ? ( See Exhibit 2 .)
3 . Advisors should speak directly to next-gen investors . Considering how clients might find you and what you ’ re saying about your offering , are you talking about what is really important to them ? Have you created messaging that resonates and connects with their priorities for the future ? Once they do engage with you , how will you continue to support them along the way ? ( See Exhibit 3 .)
EXHIBIT 3
Younger Clients Have A Different Vision For Their Future
These are the goals that different age groups noted as “ very important .”
Goals Ensuring their children will be financially secure 61 % 53 % 51 % 41 % 38 % Defining the legacy they want to leave 57 % 49 % 39 % 26 % 28 % Experiencing new things ( e . g ., travel ) 67 % 62 % 56 % 47 % 44 % Learning new skills 55 % 54 % 25 % 21 % 14 % Giving time / money to causes that matter to them 50 % 54 % 23 % 25 % 27 %
4 . Advisors should be able to put things into perspective for clients . Advisors could use planning software , such as that offered by our affiliate firm , FP Alpha , that could offer visual reporting that is easy for clients to understand . Such visuals can give clients and their loved ones perspective about how a plan will unfold and what responsibilities everyone has . This can give them time to understand and prepare for the future state of their wealth .
The great wealth transfer may already
Age < 35
Age 35-44
Source : Absolute Engagement , Building a Bridge to the Next Generation webinar , June 2024
Age 45-54
Age 55-64
KEVEN DUCOMB is senior financial planning and estate specialist at Altfest Personal Wealth Management .
Age 65-74
have started , which means advisors should be thinking about how they will retain their older clients and engage with the next generation of clients . Estate planning , with a focus on aligning to the needs and preferences of next-gen investors , will be a key capability for your future client retention and growth .
SEPTEMBER 2024 | FINANCIAL ADVISOR MAGAZINE | 55