Millennials the Future of Financial Advice

Millennials the Future of Financial Advice


The Future of  Financial Advice

Millennials are now the largest demographic.  Within the next decade or two, they will become the greatest spending force and hold or inherit immense wealth. 


The financial advice industry has been focused on older generations.  In general, planning and legislative requirements have priced essential financial advice out of reach for the millennials.


Forward-thinking financial advice firms are seeking opportunities to interact with those who will become their future full-service clients.  Competition in this space is building.


Understanding the values and drivers of Millennials is the first step in positioning your financial advisory firm for the future.


Would you like to engage with this group now on their terms?


What if there were a way to provide the fairly stereotyped general advice, Millennials want now at a price they could afford?


Understanding Millennials


Emeritus Facilitator Christine Haskins research on What Matters to Millennials –Insights you Can’t Ignore shows what is most important:


  • Treat me like I’m a partner, not just a purchaser
  • Give me products that fit me
  • Connections are important to me


The most important theme of the article was Millennials want to be a partner with their trusted service provider.  They want affordable general advice or guidance from advisers while wishing to understand and be part of the planning process.


Millennials wish to understand Money Management, so they have the skills to build their wealth while still maintaining the lifestyle they want now.


Millennials financial planning software



Where do Millennials turn for financial advice?

Here is a hint – it is not from traditional financial advisory firms.


Like Australia, the regulatory burden for Financial Advisers in the UK meant the cost of advice was beyond the average Millennial.


Iona Bain’s article in the Financial Times- Where Millennials turn for Financial Advice, details that when Millennials sought out an adviser, 50% of Millennials with less than 50,000 pounds were turned away.


What a lost opportunity?


In Australia, the problem of increasing numbers of unserviceable Millennials and “Orphaned” clients is growing.  There has to be a better way to provide affordable advice to all.

Every research project on financial advice for years has shown that the public, led by Millennials want and need affordable, scaled advice.  Sometimes all they need is a little financial guidance that can be provided with fewer regulatory constraints.


Competition is here.  Are you Prepared?


In the UK, some forward-thinking advisers such as Neon Financial Planning are providing a selection of fixed fee services for Millennials.


Millennials want to understand their finances and are embracing products like Finimize and Multiply where the emphasis is on financial guidance.


Millennials and others have embraced low cost automated investing such as Six Park in Australia.  H&R Block has now launched a low-cost general and limited advice service in Australia.


In the US giants like Vanguard and Fidelity now offer zero cost ETF portfolios as a lead into further investment services.


What if you had the technology to provide the services Millennials are looking for?


Advisory groups may be concerned that they cannot provide similar affordable general advice or generic investment advice, because of compliance and regulations.


Financial Mappers can provide solutions in a number of ways.


I invite you to explore Financial Mappers’ advanced financial modelling software, which can be shared with the client.  The article Four-ways Financial Mappers can Help your Practice explains options that may assist you in onboarding Millennials, your future full-service clients.


To find out more watch our demonstration video.


cash flow modelling software


Glenis Phillips SF Fin – Designer of Financial Mappers



Disclaimer: Financial Mappers does not have an Australian Financial Services License, does not offer financial planning advice and does not recommend financial products.

I am a founding board member of Plencore Wealth Ltd and Plencore Online Pty Ltd. I am the designer of the product Financial Mappers and Financial Mappers PRO, cloud based modelling software for Personal Finance. This software is sold on the web site am an educator, investor and expert in both personal finance and mathematical modelling and the author of 'Map Your Finances'.I have both a Graduate Diploma in Applied Finance and Investments and a Diploma in Financial Advising from the Securities Institute of Australia. I also have a Financial Analysis Certificate, by Distance Learning from University of Technology, Sydney. I am a Senior Fellow and Senior Mentor of FINSIA.


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