back to top
Community

Financial Advisors, Baby Boomers, And Fintech...the Next Steps...

How will the Financial Industry cope with the largest wealth transfer in human history.

Posted on

No issue looms larger for the financial advice industry than demographics and the aging of the baby boomers. Over the next several decades, the biggest and wealthiest generation in U.S. history will transfer roughly $30 trillion in assets to their Gen X and millennial children, and if studies are accurate, most of those children will promptly fire their parents' advisors. At the peak, between 2031 and 2045, 10 percent of total wealth in the United States will be changing hands every five years. Capitalizing on these intergenerational shifts in wealth will be critical for the long-term success of wealth management firms. "Studies regularly show that when wealth passes to another generation, in the majority of cases, the heirs change financial advisors," said Gauthier Vincent, head of Deloitte's U.S. Wealth Management practice. "The relationship between assets, asset owners and financial advisors is unraveling before our eyes." This tidal wave is approaching like a tsunami sitting hundreds of miles offshore.

This post was created by a member of BuzzFeed Community, where anyone can post awesome lists and creations. Learn more or post your buzz!