Attention on Millenials
44% of millennials say cryptocurrencies will have the biggest good effect on financial markets. This shows that younger investors are interested in cryptocurrencies. The most recent Wealth Management Report from Refinitiv, one of the world’s biggest providers of financial markets data and infrastructure, shows that only 12% of people over 55 are in this group.
Unblu, a top conversational engagement platform, did research that showed 35% of millennials trust social media more than any other source for financial advice. The market for digital assets is very unstable, so companies need to train their managers and clients on these assets and set up safe procedures to keep their clients’ money safe. When it comes to the digital world, the most important things are still trust and keeping your money safe.
ESG Investing on the Rise
As more clients want to know how their purchases affect ESG issues, morals and ethics will become more important in strategy. The Unblu study says that about 51% of investors around the world know what sustainable investments are.
A strong feeling of moral obligation is a big part of why ESG investing is so popular, but 42% of investors polled say that good returns are the main reason they would think about doing it. This is a very tough problem. There are still chances to bring about new ideas and growth in ESG investment.
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People’s ideas about the company need to be changed in order to attract new employees and investors. The PwC study 2023 on asset and wealth management (AWM) says that 53% of AWM firms are working to be more open about ESG issues and efforts. Then, firms that handle wealth should make sure their technology is up to date so they can give clients the level of service they expect.
If they don’t, they might have to think about working with WealthTechs, who have experience gathering ESG data. Also, 30% of buyers want to be able to see all of their assets in one place, even ones that are held by different banks.
Increasing Security and App Popularity
Clients want better, faster service options, but clients and organizations alike remain concerned about compliance, cyberattacks, and data security breaches. According to Unblu research, 35% of Gen X investors choose wealth management advisors based on their tech capabilities.
Another study from Refinitiv is called the Wealth Management study 2023. It says that 46% of investors use an app on their phone to get their account information. That number goes up to 72% if you only count millennials, who are getting more money. Also, 21% of those people use a smartwatch or something similar.